Can anyone fully undertand the markets?

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Hello everyone, I hope you are feeling very well. Today I would like to comment some things regarding the market, and I clarify that I am not a specialist in this aspect, however I consider that it is something we should talk about, more considering that we make life in a social network that is based on a Blockchain and in which we can win cryptocurrencies, these are in a market that is highly volatile and that like any other market is unpredictable and can behave in very different ways than expected, leaving totally out of base even those who are considered great scholars of the area.

"The market can remain irrational longer than you can remain solvent " John Mainard Keynes

The previous sentence is from the one who was considered the most important economist of the last century, but it is still as valid as when it was enunciated, do not you see it like that? I start thinking about what is happening right now, with the prices of cryptos, and I ask myself: does anyone know exactly what is going to happen with the price of Bitcoin?, for example, or to be more specific and include another important issue that is 100% current, can anyone say what is going to happen with the price of water in the mid-term future after it is incorporated into the stock market?

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In relation to water, I have read a lot of things lately, and some of them totally opposite to each other. There are those who say that the price of water is now going to be in a permanent increase, others oppose this that has just happened, alleging that having access to water is a fundamental right, and that nobody has the right to do that, even that these are strategies that will make water enter into a kind of monopoly...but which of these is or will be true?

As I see it, the market is ultimately represented by a large mass of people, who put up capital and through it speculate, and this is what gives the market this volatility.

For this market to exist there must be buyers and sellers, and obviously, we can see manipulations, but for this to happen there must be a great deal of capital moving in a specific direction. The possibility of manipulation will depend, of course, on the size of the market as such in terms of capitalization. Because in order to manipulate a market of trillions or billions of dollars you would have to have an amount that represents a large percentage of this total amount, and that's usually not the case.

However, you might not have the money to do it, but if you have a power that allows you to socially influence with rumors, for example, it would be a way to be able to manipulate some prices with false news, as has happened in other times.

With this that I have commented previously, what I intend to do is suggest that I see it as difficult for someone to predict exactly what will happen in a given market, given that times are highly changeable and the factors that determine a trend are diverse, and it is very difficult for a single person to have control over all these determinants of a market... I hope to make myself understood until now.

I say goodbye, waiting for your comments and contributions, which I will gladly receive.

Can anyone fully understand the markets?

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10 comments
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Hi @josevas217

Excellent reading and analysis, the question of which has surely crossed the minds of many of us.
Can anyone fully understand the markets?

The crypto currency market is characterised by its volatility, and it is difficult to be absolutely certain of the possible scenarios in the medium term (I am very conservative in my statement), because the behaviour of crypto currencies is not directly associated to any economy and their value in the market is directly related to the interest of the users in their change or conversion.
Two aspects that are determining and that we can hardly manage.
Thank you for sharing this excellent analysis.

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Hello @janettyanez
This is a clear example of what for some may not be attractive to others if
Volatility is what calls traders to trade in this market.
The ability to analyze the next upward movement and take advantage of a trade.
And this volatility is what keeps many away from cryptocurrencies.

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Greetings friend @josevas217

Your question of whether, someone can completely understand the markets, you will probably find that 100% of users respond with a resounding NO, or at least my particular answer is that there is no one who can decipher the behavior of the markets, and even less so if it is a question of cryptomoney markets, perhaps we will find people with technical training, capable of making accurate projections, however, the speculative element is a variable that makes the behavior of the markets unpredictable.

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Hello, thank you very much for commenting.
Sure, speculation is something that is present in all markets, and it is basically what keeps the movements in this one.

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Greetings @josevas217 without a doubt the volatility in a preponderant variable in the markets associated with crypto-currencies, likewise it is not the only one that should be taken into account if we want to understand the functioning of this market,

That is why it is so difficult from my perspective to fully understand and comprehend the cryptographic world and it is undoubtedly a market manipulated by the big investors who are the ones who determine the ups and downs of this exchange currency. Thank you for your contribution.

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(Edited)

Great economic powers will always play using power, that's inevitable friend @madridbg
The issue here is, in my opinion, how from our small position we can be profitable in what we do

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I certainly don't think you can understand their volatile behavior at all. I have often seen expert predictions crumble as markets behave in unpredictable ways.

Greetings friend @josevas 217 and thank you for sharing.

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