Great write-up for those that don't follow Medium.

medium.com5y ago
How we react to Ethereum’s price fluctuations

At the time of writing this post, Ethereum was traded at $238. If you have been following the prices of it in the last 3 months, you’ll know that it goes down as fast as it goes up.

The whole Monetha team strongly believes in Ethereum and the technology behind it. The recent rumors might work on some people’s psychology, but in the long term, the technology will prevail. At the current stage, Ethereum is too big to ignore and we’re not anxious about the short term fluctuations.

The recent rumors about China, possible “bans” on the ICOs and exchanges just shows, that every new platform has to go through several pain points, in order for it to thrive. Ethereum blockchain is just one of those platforms, and Monetha’s team is sure that these obstacles will help it to succeed in the future.

Ethereum is only two years old. If you compare where Ethereum is now, to Bitcoin when it was two years old, Ethereum shows a big promise for the future, and that’s not only because unlike Bitcoin, Ethereum has a complex technological substance behind it. One must understand, that all the additional features (Smart Contracts, dApps and more), will enable Ethereum to reach much further than Bitcoin.

As the CoinTelegraph said it, “There are various reasons as to why investors are now shifting their attention to Ethereum. For one, Ethereum has been showing signs of it being ready to overtake Bitcoin in the near future. In his interview, CEO of Polychain Capital, Olaf Carlson Wee, said that investors are likely to see Ethereum rally against Bitcoin as early as 2018. While Bitcoin has already reached its new all-time high of $3000, discussions about Ethereum reaching up to $1000 has been making rounds. Seeing as though most investors may have already missed the rise of Bitcoin, the next cryptocurrency that is currently getting the most attention is Ethereum. Finally, autonomy is a driving factor for cryptocurrencies: taking money from financial institutions and into the hands of the individual. Since Blockchain technology solely relies on peer to peer transactions that do not have to go through traditional financial institutions, many people in Asia (particularly South Korea) and The Middle East are taking advantage of the decentralized nature of Blockchain technology.”

Given the fact that Ethereum is such a volatile market, it is certainly possible that we will see a new all-time high not so far away. Monetha is placing a lot of confidence into Devcon (Ethereum Foundation Developers Conference on November 1–4, 2017) and Metropolis ( the next upgrade to the Ethereum Blockchain).

Just to remind you, the last time the Ethereum’s price was analogical to today’s price (August 5th, 2017, 41 days ago), it came back up to $389,25 (September 1st, 13 days ago). And if we go further on the retrospective — a year ago, Ethereum was worth $11.98

For us, this is an important topic as we’re holding 95,000 ETH. After making several extensive calculations of our operational costs, product development, marketing and sales, legal and other costs, Monetha’s team has decided to liquidate and hold 2 years worth of operational runway in FIAT currency at any given time, while the rest of the funds will be held in ETH.