Steem Price is half less that it was in June, Now what ?

yeah, but first of all, it is a litle bit higher than two months ago, so keep calm. Now, please read:

The VALUE and the PRICE of something are two different aspects of its nature, and
this in fact applies to a house price, an ice cream, a stock and even crypto currencies.

I will try to reduce this question to a simple case, and it will be aim to illustrate the main idea, the differences between VALUE and PRICE that will ultimately lead us to have a perspective and view of the current price and value of steem, and of course, the future ahead of this two components of our perception about this cryptocurrency.

Let’s talk about VALUE

We think about value of things as the result of a ranking of a couple of other concepts, many times, regarding with technology for example, is about: Aesthetics, function, and is well intrinsic recurrent, also, we involve the time in this matter and the way we form our value considerations is in our own way so it doesn’t have to be agreeable for others, but as humans, we converge many more times than diverge when is about technology.
Let me put it this way, when you consider something beautiful or useful it may have some sort of value for you, in fact, if you consider that a piece of technology is very useful and has a design you like, most likely you will give to it a higher value than something just beautiful but without a purpose or something that works fine but its ugly. Plus, you will consider that peace of technology even more valuable if, in some way, you perceive it will keep its value through time, that those features and good design are worth to have and will not occur something that drains that value you are very comfortable to give to it.

Other elements around the VALUE of something related to technology:

Culture, religion, an individual set of values, language, different conceptions about subjective matters like aesthetics, different day to day necessities so function will be also different between people, even the perception of time and how things endure in someone’s life. But most of all, regarding technology, a universal and clear way to identify function (how a problem is solved).

But come on, give me a universal example at least. The mac, great design, great function, great value.

Alright, I’ve got the VALUE thing, What about the PRICE?

Let’s put it this way, the PRICE the price will be a realization of the VALUE shared by the two counterparts, the numeric representation of the two counterparts when there is an agree between them and something is being exchanged.
Now, talking about an agreement, im sure you will with the following: It does change the perspective when thinking about two persons agreeing each other and a crowd agreeing each other, on what the value of something is.
A cryptocurrency value, in terms of price, comprises of two types of components

• Private components:
  Idiosyncratic to the individual and are usually known by differences in investment horizon, risk exposure, endowments, tax situations, and so on.

• Common components:
  Are the same for everyone in the market and are often known or realized only after trade has occurred. In cryptocurrencies, the common value component reflects a new ICO, an ongoing business that it does effectively uses the crypto, and a summarized view of the present value of the flows that everyone thinks the cryptocurrency will add.

Now, aside the extra difficulties that money, as the wealth, share but also greed and power can represent, the fact is that, generally, common value effects dominate private value effects. So the crowd has much more influence that an individual.

Therfore, fellow steemians, as regard of steem current price and the future:

• THE GOOD Supply and Demand
  
  The closer a market is to get together “wanters” to buy with “wanters” to sell, the closer to a stable PRICE the market itself will be. Also because of supply and demand, liquid trading can be and those “wanters” will be able to execute rapidly, cheaply and securely their will. As a cryptocurrency, the price of STEEM and Steem Dollars exists and fluctuates 24/7/365, also there is low transaction costs since there are no intermediaries and everyone has the right and real possibility to trade almost from 1 Usd worth of STEEM and Steem Dollars, but the fact that witnesses are generating more of these and that it will be in some point be traded, adds liquidity to the market in a steady pace.
  So we have no barriers, low transactions fees and increasing liquidity for buying and selling at any time these cryptocurrencies. Also something that is useful and have a clear purpose, to build a way for generate value for the content we consume/produce, something that do not actually exist.

• THE BAD: Market microstructure
  
  We still have not so well and abundant microstructure, that is, enough participants with not enough interaction, yet. And therefore it does not have a concurrent stability, I think we were having unreal prices a few weeks ago, so it is the ones today, it will get a correction and become steadier in terms of variability.

• THE UGLY: Extrinsic randomness
  
  As a cryptocurrency, apart from its own random realizations of value (say prices), we live in a world were a lot of things can and will happen, there are those who favors the value and those who don’t. From political issues, to economic and of course social matters. We are and will be seeing a double effect of the coins extrinsic and intrinsic effects, but as time passes, those effects will be discounted more efficiently by the market as it grows.

So remember, Steem as a community has the value you add and that the new comers will. The price is about the wills of the current participants moved by their own view and the common view, it will get steadier since every day witnesses create more coins, so don’t expect to be exuberant because you do not want to be chaotic either.

 Its a lot of money, we're gonna have to earn it. Upvote and resteem.