It is good to be active in the traditional market when your price is due to capitalization, financial reporting, and other factors that can be "palpated" and studied. Everything is different in the crypto market as the overwhelming majority of cryptocurrencies have formed their value due to the reputation and image of their respective projects alone, there is still a huge amount of overvalued assets, and traders are looking for undervalued coins as gold miners.
The crypto market, like no other, depends on the power of information. This is used by "bears," and "bulls," and scammers that, unfortunately, the market is teeming with. Bears support (and, of course, organize) the publication of articles like "Cryptocurrencies are sheer evil, pyramids, and bubbles" in order to reduce the cost of Bitcoin. Bulls come up with counter arguments to defend their support lines. And this information war has a relatively stable nature. The goal of the scammers is to raise the information hype around the project before the pump, which is why you need to be especially cautious if an enviable number of positive publications appear in the media promising the prospect of growth to a particular coin. Remember what we said in the publications earlier, any growth should be justified by something.
One of the key news bulletins of today is the legislative regulation of the crypto industry. Any news, whether it is tightening Korea's rules for importing chips for mining or recognizing Germany's Bitcoin as a payment unit, affects the state of the market. In order not to be mistaken in the forecasts regarding the cost of Bitcoin after the decisions of state regulators, it is necessary to read these kinds of news with a cold head. First, the financial market, whose capitalization last year exceeded $800 billion, is a machine that cannot be destroyed by a single hammer blow of a judge. Secondly, the overwhelming majority of states today really do not know what to do with cryptos and how to regulate them, so it is not worth sweating in the expectation that cryptocurrencies will be banned around the world in a single blow.
Equally important is infrastructure news that is raising the development of the crypto market to a new level. The appearance of crypto ATMs, the simplification of registration on exchanges, the simplification of the procedure for purchasing cryptocurrencies, the collaboration with the largest payment systems, such as Visa or MasterCard, the introduction of a cryptocurrency as a payment instrument by the largest representatives of the retail sector, and so on, all, of course, positively affect the cost of cryptocurrencies and their positions. Quite another mechanic is the news, which announces the involvement of financial giants in the world of cryptocurrencies. Just the other day Goldman Sachs announced that they hired Justin Schmidt as head of the division for working with crypto assets. Goldman Sachs, the Rockefeller Foundation, and other investment mastodons have capital that can move physically. Remember, we wrote about the "whales" in the world of the crypto market? It is them. These people (we will not call them companies, because specific people always stand behind specific decisions), having decided to buy some altcoins, can arrange a "to the moon" for it in a matter of minutes. Whether the financial whales decide to play on these privileges, only time will tell.
News about hacker attacks and hacking of crypto exchanges does not herald anything good for the crypto market. And if Bitcoin in this sense is relatively safe (there must be something terrible for it to be seriously "shaken" by the hackers), then the altcoins battle day and night for the confidence of investors. And convincing people who are not yet involved in the crypto market of its safety is one of the most important tasks for today. And this is done not just by analyzing this or that ICO, as experts pay special attention to how a white paper reflects security issues. A number of investment funds, for example, had to introduce the condition of a legal guarantee of a return of funds after hacking as a result of a chain of hacker attacks that received great resonance in the media.
Analyzing news from several sources is the best option by choosing among them those that do not miss the main headlines and do not change in regularity and efficiency. A news aggregator of crypto news can become a convenient tool today as several dozens of sites offer such services. Still, the most important source of news is "word of mouth," Twitter, and social networks. But, having received a sensation from a similar source, be sure to check whether the information is confirmed by the largest financial media, for whom reputation is no hollow word.
In summary, we will single out some news that can really affect the rates of cryptocurrencies:
Positive or extremely negative changes in the legislative sector;
Coin listings on top exchanges;
Collaboration with a major player on the market;
Passing a significant stage of the Road Map;
A serious stage in the development of blockchain technology;
The appearance in the team of an authoritative specialist of the industry.
Read the news wisely, analyze what you read, and do not let fake news smudge the overall picture of your awareness.