Love, war, poker, and the stock market. They are all the same. It's not quite game theory they run on, but that's involved too.
First of all, understand this:
information is power. If you know you have the strongest hand in a poker game, that information will let you win. If your girlfriend knows that you will never leave her, no matter what she does, she will abuse that power. If my military knows the exact abilities and strategies of your military, you won't beat us in battle.
The market is the same, folks.
It's simply people trying to "win", by taking the other persons money. The reason rookies get fucked is the same reason fresh-faced virgins usually get eaten alive in the dating game: they assume they are entering a happy forest filled with love and hope... But they are actually entering Hero's Duty, and they better watch their step.
You will probably need to understand what a bid/ask stack is to understand what I'm talking about. So if you don't, please review:
http://www.investopedia.com/terms/b/bid-askspread.asp People criticize me for my penny stock days, but I learned a LOT from them (at a steep price, but expensive wisdom and cheap wisdom are both valuable). I learned about misdirection, types of traps and tricks via orders, honeypots, false flags, and how to manipulate the emotions of the herd to line your own pockets. It was very educational.
Playing a market is like playing a game of online poker, except the rules are a little different and there are a LOT of players with no minimum and no maximum buy-in. Sounds like a pretty unfair game, doesn't it?
It is. Back in the days of the pits, markets were more like table poker games and players could "get a read" on other players and profit by successfully cueing in and manipulating the emotions of those around them.
Times have changed, the pits are no more, and online trading rules the day. Many couldn't make the transition.
Bitcoin markets are the same game.
And because of that, information is devilishly hard to come by. You can make public bids, but this is just one level of the game. It's akin to announcing a bet at a poker table, but at any time you can change your bet or fold with no reprocussions. And so people do. When you have thousands of players with constantly shifting bets, it becomes impossible to glean useful information about the market from these publicly announced bets.
So in a game where you can't see the emotions of the other players, and you can't trust their bets (or see their cards), how can you gain an edge?
Same as a malevolent general, who throws waves of his men at the enemy stronghold, looking for a crack. Same as the abusive boyfriend/girlfriend who keeps their partner on an emotional edge. And same as the poker player with a monster stack of chips that keeps running the table.
You fire your coins into the market and see what the result is.
Information is power in this game, and so no one is going to tip their hand. They don't want you to know what they know. They would rather the majority of the market stay in the dark and act like sheep, so they can fleece the poor things while they remain none the wiser.
And you can bet that information gleaned from the dump and mass purchase of thousands of coins is very precious to these people
because it shows the true price and strength of the bitcoin market. These are the games the rich and powerful have played for thousands of years, and of course bitcoin will feature them all the same. These same forces also astroturf public forums to their own agendas as well,
so be careful whose opinion you pay attention to and trust.
This briefing has been classified as
market top secret. Now you know the truth behind the purchases and dumps of thousands of coins. See through the FUD and the astroturfing and the market swings...
keep your eyes on the big picture because these games are only going to get more intense as more money flows into bitcoin.
I'm just your friendly neighborhood Pegasus, looking out for your best interest, as usual.
