Will Rising Tide Still Lift All Boats?

In nature, that's not something we question, since all boats are lifted by the rising tide, unless some boats are no longer capable of floating, for example, if they have a... leak, big enough to affect their buoyancy. If the leak is too big, pumps don't help either, and the boat sinks.

I was curious to track down the origins of the "rising tide lifts all boats" aphorism. Turns out John F. Kennedy used it in a high-level speech for the first time, but that was the slogan of a regional chamber of commerce he and his speechwriter found catchy.

So... a pretty old one. And as a general rule, it works in economy and in specific industries. That doesn't mean that when the tide rises businesses no longer fail or that great times reach every corner.

In crypto, people say we have way too many tokens now compared to previous cycles and it's impossible for the capital to spread to all of them. I am of the same opinion, but at the same time, we still haven't seen hype and the full expansion of this tide, to see which tokens will benefit from an investment influx, which in many cases is the same capital recycled from businesses that have risen to others, based on the investor's preference for some projects, often for reasons other than for profit. We know that unlike the rising tide metaphor, in crypto (and in economy, as well), growth isn't happening simultaneously for all businesses and coins. It's more like little bubbles bursting and generating ripples that reach other nearby places when it happens.

Let's have an example: ETH had a spectacular rise on a pretty short period. Some probably took some profits at the ATH or close and now that capital is either waiting patiently in stablecoins, or moved to a different place where the investor saw another opportunity. That's a little bubble that burst (that doesn't exclude ETH going higher than this current ATH), and a ripple to other places.

Cronos (CRO) has been in the news lately because of the partnership between Trump Media and Crypto.com, where Truth Social and Truth+ will add a reward program based on CRO as a utility token. CRO obviously skyrocketed, so another bubble building up. Next move... Elon Musk and X? As someone who has a couple of thousands of CRO locked for my tier benefits, I looked deeper and also found this, for anyone wanting to see behind the front ends.

Will these ripples eventually reach HIVE? As a small alt, if they do, they will do it very close to the end when everything is about to pop and will last a short while. If you look even at some bigger alts, they are closer to their 52-week interval lows than their highs. The question still remains: will rising tide still lift all boats? Probably not, but we will see how markets decide where to invest in the hype period, when reason is the most clouded.

Posted Using INLEO