Market collapse on Russian BC exchange btcex.com

[bitcoinex]

Presumably for a one or two months in the Russian-language Internet was operates financial pyramids, which attracted bitcoin, promising a large percentage. Bitcoin was pricey, the rate of the ruble was RUB / BTC = 1.8 - 2 or more on private exchangers

Now, people gradually began to be disappointed in bitcoin and sell them. Rate fell to 1.3 - 1.5. This is much less than if bitcoin sell on mtgox and convert USD to RUB through any bank. Exchange rate is recalculated through USD -> RUB  should be approximately 1.88

Should we stop the currency market or something like that?

[BioMike]

Bitcoin was pricey

Should we stop the currency market or something like that?

Nope, this is imho nothing more than a correction. The only thing to watch out for is damage of the Bitcoin "brand".

[FreeMoney]

Why would you stop the market because of the price?

Why not buy them there and sell at mtgox? What is the volume? Low I'd guess.

[bitcoinex]

Why would you stop the market because of the price?

so do sometimes, when a sharp collapse in prices. this time that people thought again

Why not buy them there and sell at mtgox? What is the volume? Low I'd guess.

~4000 BTC

[FreeMoney]

Why would you stop the market because of the price?

so do sometimes, when a sharp collapse in prices. this time that people thought again

Why not buy them there and sell at mtgox? What is the volume? Low I'd guess.

~4000 BTC

Oh, wow. When I checked it out before I don't think there was a single buy offer. I may have been misreading though.

[bitcoinex]

Why would you stop the market because of the price?

so do sometimes, when a sharp collapse in prices. this time that people thought again

Why not buy them there and sell at mtgox? What is the volume? Low I'd guess.

~4000 BTC

Oh, wow. When I checked it out before I don't think there was a single buy offer. I may have been misreading though.

This is sum of ask orders with price less whan 1.8

[FreeMoney]

This is sum of ask orders with price less whan 1.8

Oh, I see. That's not what I took volume to mean, but that's a meaningful amount. I bet a gap that big doesn't last too long.

[S3052]

the market at btcex is just too small now and the spreads are still way to high.
4000 BTCs is ridiculously small market (246 USD per day). just compare this to small cap stocks where volatility is also high, nbut market cap is millions of dollars..

with more people joining prices will match mtgox very soon and the exchange rate is the only variable.

by the way, last price is 2.00 RUB, so now worries.

[bitcoinex]

by the way, last price is 2.00 RUB, so now worries.

This is giant spread: bid 1.54 and ask 2.1.

I think it's because the market was built on speculation without any real needs of the Russian community in such amounts.

[FreeMoney]

by the way, last price is 2.00 RUB, so now worries.

This is giant spread: bid 1.54 and ask 2.1.

I think it's because the market was built on speculation without any real needs of the Russian community in such amounts.

What does that mean? There used to be large spreads on the USD markets too, they got thicker over time, you need more participants is all. Unless there are bad fees or trust issues someone will step in to make money as a market maker.

[jgarzik]

by the way, last price is 2.00 RUB, so now worries.

This is giant spread: bid 1.54 and ask 2.1.

I think it's because the market was built on speculation without any real needs of the Russian community in such amounts.

That just means it is a thinly traded, volatile market right now.

[S3052]

If the Russian exchange btcex would make it easier to add funds from outside Russia, then volume would increase heavily on btcex, because it would be a great arbitrate opportunity.

Currently you could buy at 0.06 USD roughly at Btcex and sell for 0.092 at MtGox, which is +50% opportunity (assuming 30 RUB/USD exchange rate).