Why has EOS pumped 257% in the last 5 days?
EOS has been pumping the last few days! See coinmarketcap.
From $0.50 to $1.40! Almost 3x!
Why is so much interest in EOS now?
EOS is doing a year long ICO, which means 2m new EOS tokens are coming onto the market every day.
Since they don’t yet have a working product, and it won’t be released for some time, there are not really any forces driving the price up.
So its pretty likely the EOS price will stay low until they launch their blockchain protocol.
So why the huge price increase right now?
Here are some theories
- They have announced a fund that go towards funding dApps built on EOS: https://cryptovest.com/news/brock-pierce-reveals-billion-dollar-war-chest-for-ethereums-killer/
- They announced that development of the product is ahead of schedule:
- Even some unsubstantiated rumors about pump and dump groups: https://www.reddit.com/r/eos/comments/7afiu5/real_reason_why_eos_was_pumped/
Its likely that a combination of these events caused the spike.
My opinion and plan
I’m bullish on EOS in the long term, but as I outlined above, I think the year long ICO inflation will keep the price down, so I am not yet a hodler.
In my opinion, this is temporary pump as no product released yet and will not be released soon. I think the price will settle back down with all the ICO inflation.
I will probably buy when it gets back down to around 50-70 cents in about 2-3 months. I’m thinking the next pump will probably keep the price high as it gets closer to launch date.
Keeping my eye on this in the coming month, looking for a good entry price.
I’ll be letter my email subscribers know when I get into EOS.