Slowly but Surely, NEM is "Breaking Free" of Bitcoin!

in nem •  7 years ago 

NEM has not had a great start to the year, that's for sure. With the cryptocurrency hacking incident that occurred not too long ago, the price of NEM quickly collapsed from near $1 to where it is now, around 36 cents.

Even worse, the crypto hacking incident's consequences have yet to fully reverberate. Some exchanges, such as Bittrex, are again closing all trades until the fiasco is resolved. That has further pressured the NEM price.

However, I believe this pain to be a temporary condition. Take a look at the NEM to Bitcoin price chart:

Lifetime, NEM has always shared a strong, direct correlation with Bitcoin...a correlation coefficient of 95% on a quarterly basis. However, year-to-date, NEM's correlation has weakened to 84%.

Why? Technically speaking, despite nearer-term losses, against a longer average timeframe, NEM is gaining significantly more momentum than bitcoin. It tells me that should we HODL for a little bit longer, NEM could be a dramatically powerful altcoin!

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"NEM could be a dramatically powerful altcoin!"

Why?

That would be a much better article

Good point! I suck at headlines :(

"Why NEM could be a great crypto currency"

There you go. Now you just need to write the article :)

I didn’t know the correlation was so high with BTC. It makes sense that the correlation fell over the last two months. The market doesn’t like hacked coins so NEM will have to overturn this bearish sentiment with some great updates. Even their Twitter account has been dormant. On a different note, nice graph! It looks really good and original. It’s the first time I see it

You're right about that, although on a long-term average basis, NEM is moving higher and faster than BTC so hopefully, it can turn itself around. If not, yikes!

Thanks for the chart compliment :) It's all Excel-based so anyone can duplicate it. I try to post with different color backgrounds to make my Steemit channel shiny and colorful, because apparently, that's what matters most on Steemit! LOL!

I wanted to upvote your content, but I got caught up with a sh-t ton of work this week...let me know when you post something new, and I'll be sure to upvote and comment! :)

No worries. I've been MIA for two weeks now. I'll be posting something that you'll find useful as well very soon. Cheers!

Future altcoin with high potentials