|
Title: How to manipulate the market Post by: bitcoinBull on July 28, 2011, 01:30:51 AM Step 1: Have a lot of USD and a lot of BTC - market price at $13.90
Step 2: Place an ask order for $150k BTC at $14.25 - build an ask wall Step 3: Sell $100k worth of BTC - break the bid wall Step 4: Hope for a sell-off Step 5: buy them back cheaper! Pretty clear there's some big players now (as opposed to the early days). It now takes $100k to move the market (used to take $10k). When the market is bearish and thin, its easier to manipulate down (spark panic selling). When the market is thin and bullish, easier to manipulate up (spark panic buying). Title: Re: How to manipulate the market Post by: NamelessOne on July 28, 2011, 01:49:45 AM Yeah, I just spotted that too. Watched it happen live and came to same conclusion as you. Damn annoying.
Title: Re: How to manipulate the market Post by: FreeMoney on July 28, 2011, 01:55:33 AM If you actually know this is going on it is free money for you, how is that annoying?
Title: Re: How to manipulate the market Post by: NamelessOne on July 28, 2011, 01:57:25 AM I bought in too high shortly before this recent drop. Thus... I found it annoying.
Title: Re: How to manipulate the market Post by: bitcoinBull on July 28, 2011, 02:26:42 AM Its only free money if it actually sparks a sell-off.
Otherwise, the market holds. The seller sees this and changes the bet. Removes the ask and buys back higher. Big buys in a thin market can start a rally, and panic buying. Title: Re: How to manipulate the market Post by: Elwar on July 28, 2011, 02:53:40 AM I sold half at $14.25 when this happened.
Title: Re: How to manipulate the market Post by: GeniuSxBoY on July 28, 2011, 03:58:01 AM The thing is... the market always levels out at the median of the peak you've created.
For instance: if the price is $12.50 and you drive it up to $13.50, (12.50 + 13.50)/2 = $13.00 is where the price will land. Sure you can sell everything you bought from $12.50 to $13.00 as profit, but you lost money on everything from $13.00 to $13.50. So it cancels out. |