Price = Cost?

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In the cryptocurrency market, you often hear that the market maker's cost is at X dollars, and it can't drop any further, the project's cost is X dollars, and they will definitely pump and protect the price, the miner's shutdown price is X dollars, the iron bottom, etc. However, if you truly believe these statements, you're not far from being harvested!

Prices have never been determined by costs; costs are merely a psychological placebo. Miners need electricity fees, computing power requires equipment, and project parties need capital to issue tokens... these are indeed real investments, but the formation of market prices solely depends on the willingness of both buyers and sellers.

To put it simply, some people are willing to sell for 10,000 yuan, and some people are willing to buy for 10,000 yuan, and the price is 10,000 yuan, even if the cost of miners is 30,000 yuan, as long as no one takes the order, the price can still fall to 1,000.

So, if the cost is not important at all, where does the cost illusion in the cryptocurrency world come from? This is because project teams and early holders love to use cost theory to deceive newcomers. For example: We spent 100 million on development, and now the coin price is only 1 yuan, it has to go up; miners are at a loss, and the price can't possibly drop any further, and so on.

There are only two factors that truly determine price: one is the supply and demand relationship, seeing whether there are more buyers or sellers; the other is market sentiment, whether people are greedy or fearful. In the cryptocurrency circle, the cost is at most just material for a scammer to weave stories and deceive inexperienced investors into buying, nothing more.
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Don't be brainwashed by cost theory; prices are determined by living people. Always remember that in the crypto world, what you buy is not cost, but consensus. What you sell is not cost, but belief. Costs are meant to be broken, but consensus is what makes money!

‍#价格本质 #市场真相 #投资思维