The least we can say is that the Crypto “investor” (and I’m using this term very loosely here) crowd is a fickle group. Take a look at RazorCoin for example, a recently launched Crypto which is closing deals for services, yet drops like a stone on exchanges.
Keeping in mind it has only been roughly 72 hours since RazorCoin hit the exchanges, during which it has seen a great rise and lots of trading volume, it’s painful to see it drop like this. Not because there is no work being done, but most people have the attention span of a goldfish when it comes to Crypto.
But I do believe it won’t stay down for that long to be honest. The RazorCoin block rewards have been halved , as we passed block number 10,000. 50 RZR per block is still a very nice reward, but this means there are also less coins being generated to dump on exchanges.
As a result of this, the return (or income from mining, usually expressed in amount of Bitcoin/MH/s), has also dropped, making RazorCoin slightly less profitable to mine. That is, if you are dumb enough to sell at current prices.
As a result of the profitability dropping, less people will rent mining rigs to mine RazorCoin. You can call this “shaking out the weak miners”, as most people only mine coins to sell them as soon as they hit their exchange wallet.
So what is next for RazorCoin? More dumping, or a slow and organic price increase? If I was a betting man, I would put my money on the latter. But you don’t have to take my word for it, you can see for yourself in the near future.
RazorCoin donations are welcome to : RNQTpcq2oVzszbQG9fPgiNxfKmy922VTF3