Can COVER and Ripple still be bought? Preconditions for long-term investment
In the past two days, the information about COVER and Ripple has been relatively hot in the circle. COVER has plummeted because of being hacked; Ripple has been in constant trouble because it was targeted by the US Securities Regulatory Commission.
Many friends have asked me if I should buy COVER and Ripple at a bargain now.
The main premise of choosing to buy when a project plummets is that it is a promising project in the future, otherwise it will fall into another pit, which is counterproductive.
No matter what method you use to invest, you are buying when the price is low and selling when the price is high. Long-term investment is no exception.
Since the holding cycle of long-term investment on a product will be much longer than that of short-term speculation, during this long-term holding process, the investment targets held may face the interference of various internal or external risks. Some of these risks are noise, which will only briefly cause currency price fluctuations, but some may be a fatal blow, directly leading to the complete collapse of the fundamentals of investment products, and the currency price will eventually return to zero. This fatal risk is the biggest risk and the biggest uncertainty faced by long-term investment.
Therefore, when we make long-term fixed investment, we must pay special attention to and avoid such fatal risks.
I take COVER and Ripple as examples.
After being attacked, the price of COVER plummeted from around US$800 to only around US$20, almost to zero. For such a plunge, should we take this "opportunity" to buy?
Then we have to see if the risk of this plunge will be a fatal blow to the project. If it is, then not only will it not be able to buy, but it will have to be thrown away. But what if you're not sure? I suggest to wait and see for the time being, neither buy nor sell.
Yesterday I carefully browsed the various information and announcements released by the official on Twitter. At present, the project party is actively dealing with this matter, and emphasized that this matter will not affect the project party’s established development plan, and the project party will continue to follow the schedule A new version will be launched in the first quarter of next year.
Generally speaking, I think the attitude of the project party is relatively positive, and they are trying their best to pull back the project. But from another perspective, as an insurance project, it is very ironic in terms of perception that it is attacked, which has left a laughing stock in the entire circle.
Under the effect of these two positive and negative factors, can the future development of the project sweep away the negative image that everyone has built up psychologically, and make the project regain its popularity and popularity again? I don't think it's too early to tell, there's too much uncertainty here.
Therefore, I suggest that investors who do not have this token do not buy it for the time being; and whether investors who already hold this token sell or not depends on their personal evaluation of the project. I am also an investor in this project. I will choose to continue to hold project tokens, neither sell nor buy, and continue to pay attention to the subsequent development of the project.
Ripple has recently been pursued by the US Securities Regulatory Commission and has been in trouble. Based on my experience, once the US Securities Regulatory Commission starts specific actions, it will not let it go without a result. So this time Ripple will lose its skin if it does not die. If it is lucky to survive, it may have to pay a huge fine to the Securities Regulatory Commission according to the past practice.
After the US Securities Regulatory Commission started to take action, the follow-up actions of the major exchanges were quite like "the wall was overthrown by everyone"----they delisted or stopped trading one after another. Exchanges do this, I think on the one hand, from the perspective of interests, the current Ripple is a weak point, and it is not worthwhile to spend energy to maintain this transaction, so they simply do not play; on the other hand, from the perspective of supervision, they do not want to be subject to Ripple's involvement has provoked the US Securities Regulatory Commission.
Furthermore, from a fundamental point of view, Ripple is now worthless. In the long run, it has no potential and room for development.
Therefore, no matter how you look at it, the fundamentals of Ripple have been broken, and there is no long-term investment value for such an investment product, so it is not worth buying.
