Should You Value Altcoins in Satoshis or Fiat (USD, GBP, EUR etc)?

in cryptocurrency •  7 years ago  (edited)


Cosmin Florin says "When you buy altcoins, do you think it's better to "think" in satoshi or USD? When you buy, do you look at the USD price or do you want to get as much bitcoin as possible, so you look at the price in satoshi? I think looking at USD value is wrong, because you might think you made some cash, but at the end of the day you can actually lose BTC. What do you think?"

DISCLAIMER: This is NOT financial advice. I am just offering my opinions. I am not responsible for any investment decisions that you choose to make.


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Ive sold all my alts weeks ago, when I saw the bitcoin dominance start to increase, I sold all alts like over a month ago. It will be a long time until next alt season. You should only be trading btc usdt now

When Bitcoin is falling I like to think of my altcoins in terms of BTC. When Bitcoin is rising, then I start to price them against the dollar. I never make any money, but I'm always happy :)

Yeah, when you intended to Invest on bitcoin/ altcoin you look the value against USD, as we know USD is the global currency, pairing the bitcoin/altcoins against USD is the key to know your investment strengths this let you know the viability if the coin worthy to invested on this is an indicator. Thank you @louisthomas for this topic and the video is interesting worth resteem and upvote.

Pairing altcoins with bitcoin is a mess, all this alt-roller coaster could be prevented if tether as a project wasn't so sketchy. At least there's now a new Tether like project in the works TUSD (True USD) supported by bittrex and other major exchanges, this could bring a turn around in price making with alt coins.

Pairing Crypto with USD/EUR is out of the question, its too vulnerable, i rather have all digital assets like TUSD or Tether and alt coins.

Also, with what I have already mentioned, it seems that it would be easier to trade against USD since it’s stable while Bitcoin is volatile. If you’re trading against Bitcoin you’d have to consider the behavior of both the Alt Coin and the Bitcoin which might get complicated. In your case as you mentioned it’s the pound.

In my opinion is better to get just any crypto because my local currency is just some crazy i can buy anything so is better to invest just think youre buying any different.. I love satoshis, btc, sbd ... Cheers

Something that I think that is often overlooked is the fact that in spite of a cryptocurrency being deflationary or inflationary, if it doesn't have any usage, it can get to a pretty low value regardless. Let's put any of the random shitcoins around that had many buyers before a pump & dump and then absolutely disappeared together with the lack of usage, projects and public image.

Imagine that they were deflationary, but if they cost 1 cent and they grow in percentage, they may be worth 2 cents by the end of the decade (if anyone still has a backup of the blockchain).

BTC is deflationary, but not in a proportion that justifies the current increase in value. This means that if BTC fell more in value, there would not be a guaranteed increase in value that would compensate the buyers who bought at 19k USD or right now in any case.

I think the value with which we value the altcoins will depend on the approach with which we entered to the market, if we are for long term it is better to see the value in btc, if we are for short term it is better to see the value in dollars.

In the end there are different ways of seeing the same asset.

It could be different for each investor, most altcoins you can only purchase with bitcoin. If you plan on going immediately USD to BTC to ALTfor every buy, then ALT to BTC to USD for every sell, then watching USD prices makes more sense than watching BTC prices. If not, then you might find it easier to "park" your money in BTC between trades rather than in fiat, and focus on the prices relative to bitcoin (you'd be looking to acquire more BTC with each trade rather than more USD).

I recently wrote a blog on almost this exact topic,,,, I think you will find it interesting and you will agree,,, based on your statements above:

https://steemit.com/cryptocurrency/@i-am-mark/bear-market-or-brainwashed-masses-special-report-on-the-state-of-the-crypto-marketplace

Pura Vida

Daily I look at the value of my altcoins in satoshi for scalping or short(48h) trades, but in the long term, I focus on the USD pairing.
I'm expecting a lot from TUSD, since its exchangeable to FIAT and that makes it attractive. I would like to see TUSD on Binance and then the opening of new altcoin trading pairs using TUSD just as Huobi does with USDT.

Altcoin are good only when we are mooning now is time for fiat and bitcoin

WARNING! The comment below by @miky leads to a known phishing site that could steal your account.
Do not open links from users you do not trust. Do not provide your private keys to any third party websites.

I do both, but I do tend to think in terms of fiat (USD) comparisons. It helps me to gauge my real profits or losses. I don't know if that is right, but that's how I think of it.

  ·  7 years ago Reveal Comment

Thanks for the post Louis. I couldn't be bothered to convert to Satoshi, maybe because I don't trade and am in for long term. With the projects I've picked, I'm not even thinking about selling for years. I track through an app on my phone which is set in USD.

I agree. I've seen numerous people on reddit and discord say to trade against bitcoin which I disagree with COMPLETELY. If I fund my investments with fiat, I'm "thinking" with fiat and going to pull my profits in fiat. It all comes down to stability and BTC lacks that completely. This whole trade against bitcoin is a mentality that comes from BTC maximalist who want people to view bitcoin as a "Store of Value" even though the "value" jumps all over the freaking place. How can someone claim BTC is a store of value when its value is never consistent. It's nonsense.

It depends if you're just a bitcoin hodler. If you invest in any alts you should measure your success by whether you gained sats or lost sats even if the alt rose in value. The meta is to use the altcoin market as a tool to get more bitcoin.

  ·  7 years ago (edited)Reveal Comment