Steem is a blockchain platform where anyone can earn
rewards for posting and viewing content. The incentive platform supports
community building and social engagement, rewarding those who participate in
publishing, voting, and exploring large content using cryptocurrency. The social
media project was founded in 2016 by Daniel Larimer (former BitShares
programmer) and Ned Scott.
There was no Steem ICO when the project appeared – instead, Steem platform attracted content creators who started contributing their articles to the website and got rewarded STEEM tokens for it. Thus, the project is supported not only by large investors but rather by usual contributors – content creators and readers.
Steem social media platform was created for ordinary
people to reward their effort for the online communities. It allows empowering
users from all over the globe.
The following groups of people can greatly benefit
from using their platform:
Heads of organizations
Steem Coin Fundamental Value
Steemit platform has 3 tokens: each plays an important
role in sustaining a healthy ecosystem of the platform:
Steem (STEEM) is the main platform token. The value of the other two tokens depends on the value of Steam. Steem converts to steem power instantly. Steem increases by 100% per year in order to leave high motivation inside the platform for new users. It can be traded on exchanges. The price of Steem depends on the market;
Steem Power (SP) is an exclusively internal currency that determines the strength of voice on the platform. Like any startup, Steemit needs long-term investment. SP cannot be converted and displayed immediately. Even if there is a desire to withdraw SP, they will be converted into STEEM in equal parts during the year, according to the dividend system. The SP course is completely dependent on the Steem cost;
Steem Dollar (SBD) is another cryptocurrency that is traded on exchanges. Unlike the previous two, its rate is completely dependent on the dollar. That is the price of Steem coin SBD is always $1. SBD cannot be converted to SP. Part of the remuneration for the content creator is paid in SBD, which guarantees its value. In the future, developers plan to introduce this particular currency into the global economy so that it can be paid for purchases and services.
A pool of rewards is formed daily for both content creators and readers (curators). Their size depends on the capitalization of the cryptocurrency platform. The reward pool is shared between authors and readers (75% is received by authors, 25% – by readers (curators). Witnesses or holders of nodes, that is, those who have a Steemit database on their hosting, get 10% for the expended capacities. 15% is given to so-called long-term investors, that is, those who hold their assets in SP, which is a motivation for investors not to lower their capacity and be interested in long-term investments.
During 2018, STEEM price fell by almost 84%: while at the beginning of the year, STEEM was worth $8, by the end of 2018, it fell to $0.23. The possible explanation for that was a drop off in users that are conditioned by the downward STEEM price movement – the value of users’ stakes diminished when the crypto run 2017-2018 ended. Besides, given the long-lasting bearish market in 2018, people started disappointing in cryptocurrencies.
Steem Coin 2019-2020 Price History
According to Coinmarketcap, on January 1, one coin is worth $0,27 and today at the time of writing this article the price is $0,16. However, it is fair to notice that during 2019 and 2020 Steem does not have an exceptional bearish trend like in 2018, however from the beginning of 2019 up to date, the price has decreased by 40%. The highest peak is on March 10, 2019, this day STEEM reached $0,55 for one coin.
Steem (STEEM) Technical Analysis
Well, there is not actually any technical analysis expertise of Steem cryptocurrency. However, here is the aggregate rating for STEEM from several traders & analysts on TradingView.
Steem Community Reputation
As far as we can guess, STEEM has become very popular
right after it hit the market – it provided the Internet community with a
completely new way of making digital money from their content.
However, what people didn’t like was a complicated scheme of reward distribution. First, it was hard for newbies to promote their content: without votes from ‘whales’, it was impossible to get enough views for decent monetization. Secondly, curators received only 25% of rewards, which was also unfair. In September 2019, Steemit decided to renew the rules and change the reward distribution system. The upcoming version is called NewSteem.
It’s a great decision because Steemit needs to hold the old users and attract new ones. In 2018, the platform lost many contributors because people left due to low STEEM costs and poor remuneration. In November 2018, Steemit even fired 70% of its staff due to the lowering activity of the platform.
The introduction of NewSteem version has given people
hope that the reputation system will be way fairer.
As we see on the search trend chart, Steem was
especially interesting for Internet users in the beginning of 2019 when the
next bull run was expected.
In February 2020, Justin Sun, the founder of the Tron blockchain, bought Steemit, the blogging, and social media platform, that owns a large amount of Steem. The problem is that Sun started to use these tokens to change the principle of Steemit work.
Steem leaders initiated a soft fork and created new interfaces, in order not to fight with Sun, but to grow following their own direction, which led to a new blockchain called Hive.
According to CoinMarketCap, the value of STEEM as a whole has declined since the acquisition, trading at about $0.23 before the news, and now at about $0.16.
Steem Price Prediction 2020-2025
We collected some Steem price prediction for 2020-2025.
#1. WalletInvestor Steem Price Prediction for 2020-2025
According to WalletInvestor, Steem is not a good 1-year investment. At the very best, it will reach $2 in 2020. The situation will become worse in 2021. Wallet Investor predicts Steem to begin the year at the level of maximum $1,12, and up to the end of the year, Steem is going to have a bearish trend and fall to $0,02. In 2022 a bull run isn’t expected, the maximum price for the end of the year is $0,21, and it’s going to move up at the same pace, so in 2025 we might see Steem at the level of $0,10.
#2. TradingBeasts for 2020, 2021, 2022 and 2023
According to TradingBests, in 2020, it can reach a maximum of $0.32. The forecast for 2021 is very similar, a platform predicts that Steem coin will cost $0.35. By 2023, a coin will reach a maximum of $0.47.
#3. Crypto-rating Price Prediction for 2020-2025
Crypto-rating claims, that Steem is a bad short-term investment, however, it may have long-term potential. From 2020 it is going to have a bearish trend. In 2021 the price of one coin will be about $0.1. From 2021 the coin will begin to increase. In 2022 approximate price will be $0.11, in 2023 $0.12 and by 2025 it will reach its peak of $0.14.
#4. Cryptoground.com Bullish Price Prediction for 2020-2025
According to cryptoground.com, in 5 years the price of one Steem coin will be about $6,18. In 2021-2022, there will be a jump from $0.34 to $2.95. In 2024 it is going to grow, and a coin will reach the level of $4.97.
What to expect from Steem price in 2020-2022
Judging by a few Steem dollar price predictions, its price is expected to keep at the level of $0.16 until the end of 2020. From one side, there’s a NewSteem version coming soon (it might contribute to STEEM price growth), from another – the bearish market that doesn’t seem to finish.
Our Steem price prediction 2022 is $0.4-0.6. If the bearish market ends, it will be easier for the cryptocurrency to overcome the resistance levels.
What can contribute to Steem price growth?
Growing user involvement (the platform is more interesting for users than Reddit and Medium).
The new rewarding scheme.
High network bandwidth.
If the Steemit team manages to sustain the interest in the project, STEEM cryptocurrency might have great long-term profits.
Whether Steem manages to grow, or not, you can buy, sell and exchange crypto on our service.