Bitcoin Forum

Economy => Economics => Topic started by: birr on November 01, 2014, 05:15:34 PM



Title: bitfinex price lower than bitstamp now -- why?
Post by: birr on November 01, 2014, 05:15:34 PM
For a month or longer, bitfinex has been trading a dollar or two below Bitstamp, consistently.
It would be funny if people are getting psyched out by the conflict over there.  I'm looking for other reasons, if anyone can suggest any.


Title: Re: bitfinex price lower than bitstamp now -- why?
Post by: Q7 on November 02, 2014, 03:31:20 AM
Maybe they've found a way to acquire cheap supply. Just my guess... or they've reduced their operation cost like servers and electricity. Most accurate answers only they will know


Title: Re: bitfinex price lower than bitstamp now -- why?
Post by: FattyMcButterpants on November 02, 2014, 04:39:39 AM
A few dollar difference between prices on two exchanges is very small. A difference of two dollars wold equal less then the amount of trading fees it would cost on each exchange in order to sell on bitstamp and buy on bitfinex (via arbitrage), therefore this is not attempted.

I would speculate that the price is lower on bitfinex because they allow shorting which will cause small amounts of additional selling pressure