EOS CTO Daniel Larimer has actually been the co-founder of three blockchain projects. The first was BitShares, a decentralized exchange. Most recently and much hyped in the community is EOS which has disappointed investors so far since it’s mainnet launch as noted here. In the middle and with approximately a million users is the Steem Blockchain.
Built upon this blockchain is the Steemit platform where content producers are rewarded for posting quality content. Steem, one of the three cryptocurrencies used on the Steemit platform, has been performing poorly. It looks set to return to its all-time lows of 2018 near the $1.1 price point. Amid speculative euphorias of 2017/18, Steem’s price rose above $9 and just back in April, it was priced above $4. Currently, Steem has been struggling to even rise above the 50EMA.
Trading can be quite volatile in Steem as can be seen on the 4-hour chart. As traders dispute the value of Steem, this is reflected through volatile price spikes and drops. Although being one of the most successfully adopted blockchain products with a large community of content creators regularly posting, the platform is also awash with bots and pricing schemes used to try and achieve greater payouts.
This can make it difficult to price in a fundamental valuation which is supported by the fluctuations on the 4-hour chart. On the 4-hour, the price currently is meeting some resistance at the 50 & 100EMA. If price action can break through this, further resistance would be expected at the 200EMA.
On the 1-hour chart, we can see the price has been trading flatter over this weekend with low volume and the 50, 100, & 200EMA all trading closely. On the longer time frames, it looks like Steem is setting up for further downward movements but on the mid-level time frames, we can see volatile price fluctuations are to be expected.
- Trading has been flat and on low volume this weekend.
- The price is meeting some resistance at the 50 & 100EMA on the 4-hour chart.
- In the longer term, it looks like the price is set to return to all-time lows of 2018. But in the mid-term, volatile price fluctuations are to be expected as traders dispute the value of this project.
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