If you go to Ausbit Bank; you will see that HBD holdings have dropped to $9,763,550. It was over $10m a bit ago.
My guess is that HBD holders are converting their HBD to HIVE then dumping it. They want to avoid "the haircut" which happens if HBD exceeds 30% of HIVE.
Converting 100,000 HBD at a nickel produces 2 million HIVE.
Who wants to buy two million HIVE in a bear market?
The people who are most likely to buy HIVE are dealing with a major drop in BTC and are not in a position to absorb the crunch.
BTW, this is why I opposed raising the interest on HBD to 20% and why I opposed raising the haircut to 30%. Those acts set up HIVE for a fun little trap called a "death spiral."
If you go to Ausbit Bank; you will see that HBD holdings have dropped to $9,763,550. It was over $10m a bit ago.
My guess is that HBD holders are converting their HBD to HIVE then dumping it. They want to avoid "the haircut" which happens if HBD exceeds 30% of HIVE.
Converting 100,000 HBD at a nickel produces 2 million HIVE.
Who wants to buy two million HIVE in a bear market?
The people who are most likely to buy HIVE are dealing with a major drop in BTC and are not in a position to absorb the crunch.
BTW, this is why I opposed raising the interest on HBD to 20% and why I opposed raising the haircut to 30%. Those acts set up HIVE for a fun little trap called a "death spiral."
It is best to avoid death spirals.
!ALIVE
I used to have $ 50,000 HBD
I should have held on a little longer before selling it all for Hive … Bitcoin and Tron. …
Although my Tron is now up over 15,000 %
So that was a very good trade
Tron : https://coinmarketcap.com/currencies/tron/