Understanding Order Book Orders vs Price Movement

[Jetheat]

I'm trying to understand how much a currency would move once an order from the order book has been taken down.

For example, if the price is currently at 0.1000 BTC (for a particular Altcoin), and the first BID order is for 1 whole Bitcoin at say 0.0999.

If this order is taken up, then how much would the currency move upwards from 0.1000?

Appreciate the help,

JH

[kolloh]

I'm trying to understand how much a currency would move once an order from the order book has been taken down.

For example, if the price is currently at 0.1000 BTC (for a particular Altcoin), and the first BID order is for 1 whole Bitcoin at say 0.0999.

If this order is taken up, then how much would the currency move upwards from 0.1000?

Appreciate the help,

JH

The order book basically lists the supply and demand for the coin. If someone purchases a particular altcoin and buys all the ones listed between the .1-.15 range for instance, the price would rise to .15 as that would be the cheapest listed on the market until other users list lower priced coins or adjust their listings.

Increased demand will drive the price upwards and increased supply will drive the price downwards.

[Jetheat]

[/quote]

The order book basically lists the supply and demand for the coin. If someone purchases a particular altcoin and buys all the ones listed between the .1-.15 range for instance, the price would rise to .15 as that would be the cheapest listed on the market until other users list lower priced coins or adjust their listings.

Increased demand will drive the price upwards and increased supply will drive the price downwards.
[/quote]

So it takes the furthest price to move to from what has been bought?

[kolloh]

The order book basically lists the supply and demand for the coin. If someone purchases a particular altcoin and buys all the ones listed between the .1-.15 range for instance, the price would rise to .15 as that would be the cheapest listed on the market until other users list lower priced coins or adjust their listings.

Increased demand will drive the price upwards and increased supply will drive the price downwards.
[/quote]

So it takes the furthest price to move to from what has been bought?
[/quote]

The price is essentially the cheapest that anyone is offering to sell the coin. If all the coins of a certain price are bought up, the price will move up to the next lowest price someone is selling it for.

[ktabb]

When you talk about the "price" of a currency, that just refers to the last price at which it was trading. If there is an order to buy at 0.09 and someone places an order to sell at that price, the order will execute and now the price is 0.09. It's pretty simple actually.

[Jetheat]

When you talk about the "price" of a currency, that just refers to the last price at which it was trading. If there is an order to buy at 0.09 and someone places an order to sell at that price, the order will execute and now the price is 0.09. It's pretty simple actually.

But the buy prices are always lower than the current price, so how can the new price move to a higher price after there was a sale to buy (at a lower price)?

JH

[Jetheat]

In theory, it seems like that the buy prices are lower than the current prices. So if someone buys at that price, the price would drop to that lower price at which the coin was bought.

What am I missing?

JH