[Updated 1.2023]
Like all markets, the digital assets market also experiences both bearish and bullish dips and spikes.
While it's true that the overall cryptocurrency market is may be experiencing a bull run recently, there are several reasons why EDCOIN's price might, from time to time, not be following the same trend as Bitcoin and other digital assets (altcoins):
1. Focus on Utility vs. Speculation:
The EDCOIN Foundation is currently prioritizing building real-world utility for its digital asset, focusing on developing products and services that people want to use hence the #BUIDL imperative.
This long-term approach, while beneficial in the long run, might not lead to immediate price spikes driven by speculation, unlike some other digital assets.
2. Supply and Demand Dynamics:
Even in a bull market, individual digital asset prices are still determined by supply and demand.
If there's more EDCOIN available for sale than there are buyers willing to purchase it at a higher price, the price might remain stagnant or even decrease.
3. Exchange Listings and Market Exposure:
EDCOIN is listed on both WhiteBIT and UNISWAP at the time of preparing this FAQ article.
The availability of EDCOIN on other major exchanges besides WhiteBit and UNISWAP can impact its price discovery and trading volume.
If EDCOIN is not yet listed on major exchanges like Binance with high liquidity, its price might not reflect the broader market sentiment as quickly as other more widely traded altcoins.
However, the upside is that EDCOIN has much more room to grow into than many other digital assets because future listings of EDCOIN on additional exchanges, including Binance will increase its price discovery and of course, the trading volume.
Ahead of additional exchange listings, perhaps strategies like Dollar Cost Averaging (DCA) may be worth considering as the EDCOIN Foundation continues to #BUIDL.
4. Market Fluctuations and Volatility:
The digital assets market is inherently volatile, and even during bull runs, individual tokens can experience price corrections or dips.
This volatility can be amplified for smaller altcoins like EDCOIN compared to established players like Bitcoin.
In fact, during bearish sentiments, you can see that historically, EDCOIN has held up much better than most digital assets.
It's important to remember that:
Focusing on building strong fundamentals and utility can lead to more sustainable price growth in the long run, even if it doesn't result in immediate gains during bull markets.
The price of any individual token is influenced by various factors beyond just the overall market trend.
Conducting thorough research and understanding the specific project's goals and development roadmap is crucial before making any decisions.
You may like to continue gauging the intentions of the EDCOIN Foundation especially in its longer term plans to genuinely #BUIDL a stronger and more vast ecosystem for all EDCOINERS and affiliate communities globally.
Finally, you can also verify the historical performance of EDCOIN during bearish times and you can see that historically, EDCOIN has held up much better than most digital assets. Many other digital assets have gone to 0 but EDCOIN remains on track to continue #BUIDLing from strength to strength, through lows and highs, through thick and thin and through bears and bulls.