Hmmm. I don't see the problem in evaluating altcoins in btc. What you describe is a very short term mechanical raise or decrease of altcoins because of btc fluctuation. But in the medium/long term we can see altcoins have a real value on their own.
If you take ETH for example, last year in August 2016, it was worth 0.02 btc. Now it is 0.08 btc. So ETH was only multiplied by 4 ? Not at all! Because if you convert to USD : August 2016 ETH was worth $12. And now it is worth $250. Multiplied by x20.
This shows that ETH has "its own life" even if btc is used to value it.
The solution to not be "fooled" might be to evaluate altcoins in USD directly.
But this would be problematic for exchanges I guess, there must be a financial reason why they systematically use btc. And I am interesting in knowing those reason, if anyone knows.
there is most definitely a problem. Look at the ALT's in the past week+, bitcoin has been surging hard but ALT coins like Stellar, ETH, XRP are all in a continuing freefall that is threatening to close peoples holdings. We're talking FREFALL... until this ridiculous hand-holding by btc is defeated once and for all, the ALT will NEVER have their ow identity.
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True. It has been obvious for me especially the last months that ALTs mostly follows BTC. Wether it be upward or downard. Thats almost ridiculous how alts are bound to BTC. The example of ETH I was talking about was actually one of a few exceptions. And now ETH is just as linked to BTC as any other alt.
This invisible link means 2 things for me :
And that's sad for crypto. I hope it changes.
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@eternalsunshine Thanks for responding - Do you have an exact date of ETH being $12 in August 2016? Bitcoin ranged from $465 to 600 in August 2016 - and $12/$465 = roughly .028 so the correlataion maintained. Today - Ballpark numbers ETH is around $250 - Bitcoin around 3000 - so 250/3000 = roughly .083.
The pairing should be exact always if used the way it has been - and like I said - even if the $ amount of a coin doesn't go up as Bitcoin surges - The % either lowers or greatens and many people roughly gauge a coins value by it ALT/BTC pairing %
Not long after righting the article I found the solution - well kinda - however am still perplexed why it's not used - THE USDT - USD Tether which has always maintained around the price of $1 somehow even tho you can potentially pump it I suppose -
So why was USD Tether created and rarely used on Exchanges? Why do some exchanges like corrupt Poloniex have 75 coins paired to BTC and 8 paired to USDT?
I think it would be easier for all and especially for widespread growth to be able to quickly see a value or bid wall in $ at all times.. Especially if the SEC will ever adopt EFT's or Support Exchanges by Federally backing their holdings as they do with banks -
The search continues - until then - I believe it is solely to confuse the new investor and allow whales to manipulate them more easily and for Exchanges to show false increases in value to get more money pumped into them
I hope a clever mind can explain this to us all :)0
PS - GO NEO!!!! (Formerly ANS AntShares) WAYYYYY PAST THE MOON
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I checked ETH value with this link : https://www.cryptocompare.com/coins/eth/overview/USD
And choosed to see until 1Y ago.
So the 10th of August 2016 for example, it was $11.68.
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