questions: What is your opinion about Elon Musk’s post, where Tesla disassociated itself from bitcoin, about its environmental harmful effects of mining?
a: Honestly, I find it very entertaining! Naturally, Elon Musk simply realized that bitcoin mining had a detrimental effect on the environment. I think someone at Tesla just told him that we don’t like bitcoin, because it’s hurting nature … In a word, I think this whole thing is a joke. Of course, I don’t mind laughing about its effect, because we saw what happened. However, I highly doubt that the price drop was only due to a tweet from Elon Musk. If this is true, then this market stands on a much weaker foundation than I thought.
questions: If this was not due to Elon Musk’s opinion, then what was the real reason for Bitcoin and Ethereum to fall 30-40% in just a few days?
a: I don’t want to breed conspiracy theories, but Elon Musk’s statement only worked for some groups who wanted to summarize. Let us ask the right questions! Who gets the most profit when the price falls? The answer is really simple – exchange. I do not want to accuse anyone, but the activities of some exchanges will be severely punished on a regulated market.
questions: What is the problem with exchanges? Why do you think exchanges are responsible for the overnight collapse of the market?
a: I am not saying that the only catalysts of events are exchanges, I just want to say that a situation where top cryptocurrencies are growing 30–40% is good for them. Let’s imagine for a moment that Elon Musk tweets something and his views increase by a hundred billion in sales. I don’t want to do more or less Elon Musk, but I think he alone is not good enough to do anything. A market is necessary for things to move forward, a market where there is a big difference between the report and the actual business. The volumes we see are far from reality. Each exchange uses market makers. There are many companies that provide MM services. In addition, projects use their own free accounts. So let us not be naive. Very few people sell because of Elon Musk’s tweet, as shown in the data from listing sites. In short, the market falls due to false volumes.
questions: So you just don’t like exchanges. What kind of solution do you see for the mentioned problem?
a: It is not true that I do not like exchanges. There is no problem with the exchanges, but rather with the speculative nature of the market which arose from their erratic operations. It is just like the Wild West! Let’s think – bitcoin falls by more than 30% in just a few days. Of course, there are many people with open purchase positions at low prices, which reduces the price. Make no mistake, only exchanges are not responsible for this. Exchanges are providing opportunities and it is also in their interest to create a situation where Ethereum falls from USD 4,000 to USD 2,000. It is hard, very difficult. I am not even mentioning bitcoin, which experienced a much more significant decline. When you see binance it just hurts the eye The coin Going under 300 USD. The coin The exchange that everyone knows is the largest partner in the cryptocurrency market. Don’t tell me it’s because of Elon Musk!
questions: From the above it appears that you are more pessimistic towards the market than optimistic. What future do you see for cryptocurrency? What kind of price do you think bitcoin will reach by the end of 2021?
a: I do not think I can be called a pessimist, because I do not allow myself to be manipulated. I just don’t think that a tweet can result in a drop of 30-40%. This is my opinion That is why I explained the reasons that may stand behind the fall in prices. This is not a pessimistic or optimistic view. This is only an opinion, which is good for giving a different angle on market events. Yes, I am a critic of exchanges. It mostly comes from experience. We have a very bad experience with the exchanges, but when asked if I have a good or bad experience with the exchanges, sadly I have to say that this is more bad than good.
For the future, I think bitcoin will be one of the best investments ever. Despite its current short-term discretion. Of course, bitcoin is not perfect, but its basic concept predisposes it to success. I don’t like to predict, there are more than enough “experts” for this who want to gain popularity with short-term tips of a few hundred thousand dollars. I think these are hollow statements. Nevertheless, I am sure that in the long run, the price of bitcoin will be much higher than it is today. It needs time. The short and long term effects of topical regulations are also not mentioned.
The cryptocurrency market must go up to the task. A state like this “wild west” must be abolished over time, and a clear, stable and transparent market is necessary to reach success. Bitcoin will fulfill its mission and fulfill the role for which it was destined. It will have a serious role in the economic life as digital gold. Its role will be the same as gold, but only with different foundations, because the technological revolution is changing everything. I hope you have now seen that I am more optimistic, but I want to stand with both feet on the ground.
questions: If we were talking about bitcoin, let’s talk about Ethereum. What do you think about the future of Ethereum and altcoin?
a: I really don’t like this word “altcoin”, Because even when it has meaning, it is still a bit ambiguous. Bitcoin does not require options. However, I do not want to get into it, because it will be a separate conversation.
Ethereum is getting stronger. Defy and NXT projects took Ethereum to a new level. Two years ago, I thought Ethereum would be rejected, but today, I see it in a completely different light. The network will have to be sufficiently robust to handle a myriad of projects. It is clear that the price of ether also depends on bitcoin, just as there are any other projects in the market. So, any talk about the future of Ethereum can only be done from the shadow of bitcoin. If bitcoin will be strong, Ethereum will also be strong. I cannot contribute more to this question. Clearly, Ethereum faces many challenges if Ethereum wants to remain in the role of market leader for the Defy and NXT markets for a long time. We will see how the future plays out. It is really difficult to comment on this.
questions: If we were talking so much about the market, can you say a few words about ILCOIN? What kind of future awaits you?
a: Major changes are taking place at ILCOIN. Sadly, the values we were building during 2018-19 are no longer impacting the market. No one wants large block sizes, no one wants to store data on-chain and questions about security become secondary. Now, Daffy and NXT are top hits. Actually nothing is important anymore. It may be an exaggeration, but if we look at it well, there is truth in my statement. We are evolving and still evolving sport, They do Bear Price, but today, there is no emphasis on such development. Therefore, we have to change the project in such a way where we keep valuable things, and a refurbished project should be able to reach new users. Our current community has a huge role to play in making it known to a wide audience of users.
In a word, the new plans are in focus, where we will try to validate the strengths of ILCOIN, but we need time. Changes will not happen overnight. The market is changing rapidly. The trend we think about this year may not be the next year. Therefore, you cannot bet everything on one card. With over 5 years of experience, we have seen quite a lot. And that combined experience helps us a lot in building our future. ILCOIN SHA-256 produces the most advanced technology in PoW coins. This is great, but when we are talking about altcoin, there is a greater need for Ethereum-based solutions than bitcoin-based approaches. However, this can be changed. This is the most exciting thing about the crypto market. It is dynamic, unpredictable and you can win big or lose big. If no one can handle it, go and buy Swiss or Norwegian state bonds.
About Alona Karpinskaya: Founder, technical writer, journalist and publicist of PR-Blockchain Agency