It’s Slim Pickings For Altcoin Traders

It˙s Slim Pickings For Altcoin Traders

It’s no secret that altcoin traders need strong volume in order to earn high returns.

In a strong, uptrending market, it’s easy for altcoin traders to make the kind of consistent returns that really add up.

Traders wonder: “what do we do next?”

Lately, though, that task has been getting harder. Volume has been steadily declining on altcoin exchanges for the past several months and there are no signs that disturbing trend is about to stop.

Mintpal is gone. The remaining exchanges have less people trading on any given day. Have altcoins traders finally lost their appetite? It’s clear that some have.

Mintpal closed with a lot of customer funds still in limbo. This action reinforces the message that you should not leave cryptocoins on an exchange emphatically. Maybe this message is sinking in and encouraging people to trade with smaller amounts of capital. The lower volume indicates a growing conservatism. It could also be a sign that the returns have just not been there lately. With greed diminishing and fear increasing, a continuous downtrend becomes a fact of life.

In the past hype helped push trading to all time highs. Traders didn’t want to be ‘left out‘ so they would rush in on any altcoin launch that was generating enough interest. Now it’s getting harder to convince people that they can’t miss out. Most of them are better off missing out on some of the crap ICOs that have been lobbed out there lately.

Now that traders are becoming more sophisticated in their decisions, trading volume could continue to pay the price.

So what’s next for the world of altcoins if trading dies off as a major source of revenue?

That could become a major issue. Right now adoption is growing slowly and merchant’s barely use altcoins. Trading has long been the primary use for altcoins. If that use case dries up, altcoins could really be in for a world of hurt. Whether we’re at that level of a crisis right now remains to be seen.

One thing seems certain: the holiday season this year is shaping up to be a crappy one for altcoins. There’s no sign of a resurgence in Bitcoin pricing and no altcoins are really standing out from the pack.

All this could change in a heartbeat. We’ll keep monitoring for new developments.

Thanks for stopping by and reading! If you have any comments, leave them below.

  • Gizfreak

    I think that cryptocurrency usage is shifting from a semi legal use at exchanges to the underground aka the black money market. A market that could even be bigger then the legal fiat market.