Everyone who trades is looking for an edge. Sometimes the answer to predictable volatility is right under your nose. My economics professor told me that economics is common sense math. I agree and I feel as if economic law is a good reference point when making short and long-term decisions in the crypto-trade world. A video by longtime bitcoin investor, Roger Ver briefly goes over such concepts.
“The value of a substitute good will rise even more so when the other options loose it’s perception of value.”
There are patterns that can be observed by using a law of economics as Roger states. The value of a substitute good will rise when the value of the main goods rise. The value of a substitute good will rise even more so when the other options lose its perception of value. In bitcoins case, alt-coins seem to rise as bitcoin falls which make sense naturally. This is a form of macro predictable volatility. To be on the safe side, when investing, you should always diversify your portfolio. If you are deciding to experiment outside of bitcoin try to spread your money throughout the popular alternative currencies that provide a good user experience. We are still on the ground floor of the crypto-currency revolution. We choose, as a community, where we want this industry to go.