Siacoin Price Forecast 2020: A Voice of Reason
The craze behind cryptocurrencies continues and it has become the new avenue for those looking to get rich quick. I was asked to provide a Siacoin (SC) price forecast, and at first glance, I can say that I am not impressed. A Siacoin price prediction for 2020 is a stretch considering I am not exactly enthusiastic that this paradigm of cryptocurrencies is going to be around at that date, which puts Siacoin’s future into serious question.
The SC price currently stands at around $0.0036, meaning it trades at a fraction of a cent. At this price, why would anyone even bother with a Siacoin wallet? Perhaps I am missing something.
The price action has thus far spoken for itself and Siacoin has just forged a new all-time low, which does not infuse much confidence in this cryptocurrency. In order to change my initial bearish impression, I will outline the hurdles that Siacoin will need to overcome.
I have been in the investment industry for nearly two decades, and I have spent nearly all that time studying price and its behavior. I have expressed my opinions on cryptocurrencies, and although I honestly believe that higher prices are still on the horizon with respect to Bitcoin, I have warned and made it clear that I strongly believe a bubble is in the making, and that it will end like all the previous bubbles that came before it; in tears. In the meantime, there are opportunities everywhere as this bubble continues to inflate.
The proliferation of cryptocurrencies is staggering. Keeping up with them is almost impossible as this sector grows exponentially. One has to wonder, with so many cryptocurrencies in circulation and new ones regularly being created, can this market sustain itself if a liquidity event did ever occur? This raises the question, is there really a future for Siacoin?
Let’s assume that the price of this cryptocurrency is a gauge of its health. In order to answer the question regarding its future and the possibility of even fathoming a Siacoin price prediction for 2020, I will do what I do best and analyze this cryptocurrency’s price chart. I will also outline the developments I would need to see in order to suggest that a move towards higher prices is in development, which will also serve to suggest that Siacoin is destined to have a future.
The following Siacoin price chart illustrates the trading action in Siacoin since its inception.
Chart courtesy of TradingView.com
The price chart illustrates a trend that contains the quintessential characteristic that defines all bearish trends, which is a series of lower highs and lower lows. This characteristic is why I am not too enthusiastic about the prospects of this cryptocurrency going forward. As the price is falling, so too is the market cap, and for those holding Siacoin, it has thus far been a painful ordeal.
I have annotated the price chart of Siacoin in order to add a downtrend line. This downtrend line was created using the series of lower highs that defined the bearish trend. This downtrend line acts like a dividing line, and to even ponder the prospects that a bullish trend is in development, Siacoin needs to break above this metric. The downtrend line currently resides at $0.0055 Siacoin to USD, and a sustained close above this level would imply that the bearish trend that caused so much angst for investors has finally concluded. Such a feat would open the door for the development of a bullish trend.
A bullish trend would have the exact opposite characteristics of the bearish trend, consisting of a series of higher highs and higher lows.
The fact is that the cryptocurrency bubble is still in development, and the new all-time highs that were just created in Bitcoin is a testament to that. There is a chance that the continued push towards higher Bitcoin prices will manifest into a run towards higher Siacoin prices, but first things first; the downtrend needs to be overtaken before such a move takes hold.
How to Buy Siacoin
Now that I have outlined the developments I would need in order to suggest that a bullish trend is in development, I will go one step further and outline, for those inclined to get involved in acquiring Siacoin once this bullish trend has been established, how to buy Siacoin.
Siacoin can be bought through a number of cryptocurrency exchanges, but on its website, the developer especially suggests that anyone interested in acquiring this cryptocurrency use either Bittrex or ShapeShift. These are both dealers, and buying or selling on their platforms is straightforward and streamlined. They will also provide the wallets one requires in order to store their collection of cryptocurrencies.
Siacoin Mining: The Easiest Way to Mine
If you’re tech-savvy, you could mine this cryptocurrency and the only costs involved would be related to hardware and energy. Both can be costly depending on your cost for energy and budget on hardware.
Energy costs are variable but the equipment costs are not. The only issue is finding something that suits your needs, and unfortunately, the choices are currently limited. AMD‘s and NVIDIA‘s GPUs perform well at mining this cryptocurrency, and the Siacoin pool miner that uses OpenCL works best with both these GPUs.
I think I have made it pretty clear that at this moment, the future looks bleak for Siacoin. For someone like myself, who takes his cues from the price chart, the price action is bearish. As long as this trend prevails, so too will lower prices.
There is a silver lining, of course, which can potentially paint a rosy picture for the Siacoin long-term forecast.
The cryptocurrency bull market is still in development, and as long as Bitcoin continues to forge new all-time highs, it creates a tailwind where Siacoin can break out above the downtrend line that defines its bear market, which will open up the possibility for a move towards higher prices to develop.