CoinDesk.com data shows that on Thursday morning, the value of OMG Network coins (which you may not have heard of previously) reached an all-time high of $18.90, an increase of more than 17% in 24 hours. (Different results may be shown by other data suppliers. Even greater values were seen for the cryptocurrency in 2017; however, it immediately plunged abruptly and hasn’t come close to reclaiming those levels until this week, as noted by CoinMarketCap.com, which still displays OMG Network under its original moniker “OmiseGo.”
In other words, what OMG is
Last week, Fool Keith Noonan claimed that OMG Network owners will get a new crypto token that can be staked for rewards on Boba Network this coming Friday. This seems to be the cause of the recent surge in the price of the coin. But cryptocurrency investors in general are bullish on OMG’s plan to develop a next-generation Ethereum Layer 2 Optimistic Rollup scaling solution that decreases gas prices, increases transaction throughput, and expands the capabilities of smart contracts.
The literal translation is a more efficient and inexpensive method of transferring bitcoin between parties without compromising security.
One of the many selling points of OMG coins is, like Bitcoin (BTC -1.73%), there will only ever be 140,245,399 of them in circulation. Peter Thiel, investor and co-founder of PayPal, has argued that coins with restricted quantity keep their value better in an inflationary climate, and so may be crucial to a cryptocurrency’s long-term prospects. They are, if I may use the phrase, a safer investment.
Among other things, find out OMG price prediction before investing in this cryptocurrency.
In other words, what OMG isn’t
According to statistics compiled by CoinDesk, the value of all OMG coins has been exchanged for almost as much in the previous 24 hours as the entire amount of OMG coins ever created. In the 24 hours since yesterday morning, $2.49 billion in OMG shares have changed hands, bringing the company’s market valuation to $2.65 billion.
Nearly all OMG coins were sold in a single day.
One interpretation of this data is that OMG coins are actively traded by cryptocurrency traders who follow the market’s ups and downs in pursuit of quick gains. Easy entry and exit from trading in and with a coin is another sign of high trade activity.
This tremendous rate of trading, however, reveals something else: no one is buying OMG with the intention of keeping it as a “store of value.” Certainly not for more than a few minutes at a time.
This is NOT Bitcoin
Look at OMG’s volume and compare it to that of a well-established currency like Bitcoin. Much like OMG, the total number of Bitcoins that will ever be created or in circulation is capped at 21 million. In contrast to OMG, however, fewer than 2% of Bitcoin’s 21 million coins (or a similar value) changed hands within the last 24 hours.
Therefore, OMG Network may be the perfect cryptocurrency for you if you wish to trade cryptocurrencies for fun and profit and treat them like gambling chips in a casino. However, Bitcoin might be a better idea if you have faith in cryptocurrency’s ability to act as a store of value and hedge against inflation.
Would it be wise to put $1,000 into OMG Network right now?
You should listen to this before signing up for OMG Network. The top-rated team of research analysts has identified the top 10 stocks for investors to purchase in the near future, and OMG Network wasn’t one of them.
Motley Fool Stock Advisor, their online investment service, has outperformed the market by a factor of three over the course of two decades. There are now 10 equities that they believe would be superior investments.
Often, in order not to get into trouble, you need to study a lot of information about cryptocurrency price predictions and events in the world. If you understand that it is time to sell OMG, you can use the services of the Godex website and make any swap quickly, simply and reliably, not only with OMG, but also with other cryptocurrencies, for example, exchange Bitcoin to Monero.
The above information does not constitute any form of advice or recommendation by London Loves Business and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Appropriate independent advice should be obtained before making any such decision. London Loves Business bears no responsibility for any gains or losses.