I’m sure we all love seeing GREEN across the board over the last week, especially these USD pairs waking up. Some of the ones we’ve sent out as signals over the last week or so have been OMG, LTC, and ETC so we’ve got some good wins all around in our community. A lot of us on the team and in the group have started to do some day trading as the markets have slowed. Personally, I locked in 30% profits last night before bed day trading OMG, LTC, and ETC.
Ethereum Classic(ETC) has been big winner for a lot of people lately. I’ve been in ETC for a bit long term as well as I’ve heard that as ETH switches over to Proof of Stake(PoS) versus Proof of Work(PoW) known as mining, the miners will more than likely switch to ETC. This switch will likely increase the value of ETC significantly and allow miners to remain profitable as they continue to mine. While I’m not a firm believer that ETC is the real ETH like some people are, I believe it has a lot of value as we move further into 2018.
Short term, ETC also has an Air Drop coming for their new token Callisto. According to the ETC devs, Callisto is “a separate blockchain that is based on Ethereum protocol with its own cryptocurrency (CLO)…Callisto introduces a Cold staking protocol that rewards coin holders for being network participants.” Callisto itself sounds like it will be an experimental protocol that will allow users to test scaling solutions among other things.
The golden question:
Will Callisto be valuable and should you hold ETC for the airdrop?
It’s always important to understand what your personal strategy is and to do your own research when it comes to things like an air drop. Callisto may or may not have future value, it may or may not be a great scaling solution and be successful, and it may or may not be worth holding ETC in order to receive 1 Callisto per 1 ETC you hold. This is all up to the future and however successful ETC and Callisto become.
While we don’t know nor could you really predict the value of Callisto, you can look at history and realize what has happened to various charts in the past with Air Drops. NXT – IGNIS last December is a great example and if you look at the chart its clear what happened. We see an air drop happening in similar fashion and we see an insane surge in the NXT price. But, a few days before the air drop people started taking some profits and that continued until NXT lost about 70% of its gains in a few days. The Air Drop was supposed to happen on the 28th of December and people started locking in profits on the 22nd before it started to dump.
It is extremely important to note that when exchanges support forks or air drops they usually freeze trading until they can support the new forked crypto or they can distribute the air drop tokens. Usually, this is done in the form of a snapshot in order to see who has how many X coins and how many Z coins they will receive. With this freeze on trading, it is impossible to buy or sell meaning you can’t get rid of what you’re holding and you’re stuck holding that until the exchange makes trading available once again.
So, all that said to say this. If you’re playing ETC as a trade, actively pay attention to your trades over the next few weeks and be prepared to take profits BEFORE the air drop. If you’re an ETC bag holder then do what you want, maybe the Callisto token will be profitable for you. Lastly, if you just want Callisto for whatever reason, make sure the wallet you have your ETC supports the air drop in order for you to receive your Callisto.
