Title: Stick to your valuation -- require a profit Post by: realnowhereman on February 08, 2012, 12:07:10 PM So, there's bitcoin prices ticking up quite nicely, when someone with enormous deep pockets dumps 25k coins; driving the price to 5.3.
That's fine. I'm not one of these people who hates on "the manipulator". The order books show a load of bids; and the manipulator is perfectly entitled to take them up on their offers. Here's the thing though... the ask side fills up instantly behind the huge drop; and that's our fault. If you valued your bitcoins for sale at $5.65, or you were holding out for a profit at $5.7 don't suddenly accept a loss because someone takes a dump. If you were running a business you would value your product and you would offer it for sale. Do the same with your bitcoins. The worst of it is, that the person taking a dump wants us to fill in the ask side after they dump -- that's why they're doing it. The only way we'll stop this sort of behaviour is by making sure it's not profitable for them -- it's not profitable for them if it is profitable for you. Remember that and the "manipulator" has nothing to work with. Title: Re: Stick to your valuation -- require a profit Post by: realnowhereman on February 08, 2012, 12:32:31 PM Oh look, "someone" just bought 8,000 coins.
I wonder who that could possible have been.</sarcasm> Title: Re: Stick to your valuation -- require a profit Post by: N12 on February 08, 2012, 12:45:40 PM Bitcoin price valuation depends on the projection of past to future prices.
Or do you think people will check the fundamentals, conclude a price of 5.7 and stick with it? ;D ;D Think about how people down to 5.3 acquired coins, and the price goes back to 5.7 – they can now make a profit and compete with the guys who bought at 5.7! There is also a psychological effect, because people see a rise less likely. It makes perfect sense to reduce your ask offers. Title: Re: Stick to your valuation -- require a profit Post by: realnowhereman on February 08, 2012, 12:55:29 PM Bitcoin price valuation depends on the projection of past to future prices. Or do you think people will check the fundamentals, conclude a price of 5.7 and stick with it? ;D ;D Over the course of 15 minutes? Yes, I think they probably should. I'm not saying never change your mind; I'm saying if you think your bitcoins are worth $5.65 then the fact that someone sells 40,000 of them in a blatent price dropping attempt shouldn't be enough to make you suddenly value them at $5.45. ... Oh look, we're |