Wall Observer BTC/USD - Bitcoin price movement tracking & discussion

[Nemo1024]

Bid side of the order book on Bitstamp looks thin. I can't understand why the price stays up - nothing's supporting it. And that wall at 900 has been looming there for the whole day. Is someone waiting for funds so as to snatch almost 700 coins in front of the wall, before pulling it?

[1715456409]

1715456409

[1715456409]

1715456409

[macsga]

What's with the rally every night (when I want to go to sleep?) 

[sumantso]

Bid side of the order book on Bitstamp looks thin. I can't understand why the price stays up - nothing's supporting it. And that wall at 900 has been looming there for the whole day. Is someone waiting for funds so as to snatch almost 700 coins in front of the wall, before pulling it?

Didn't you buy in? Or have you sold again?

[fred1111]

What's with the rally every night (when I want to go to sleep?) 

it starts in 15 minutes, be patient 

[freethink2013]

has mac gone to bed yet? I need to get some bids in. When's the rally? 30mins?

[elg]

siliconANGLE » Bitcoin isn’t banned in China, only legally defined.

inShare16


The last several days have been particularly volatile for new watchers to Bitcoin. The price of Bitcoin peaked out at over 1.2 mBTC ($1,200 / Bitcoin) on the fourth, but following warnings from the People’s Bank of China, the price tumbled to .576 mBTC ($576 / Bitcoin) before correcting upwards to .860 mBTC ($860 Bitcoin) on Sunday morning trading.

Those who have followed Bitcoin since it’s inception may look at the recent fluctuations in price as somewhat tame, but much has been said and alleged about what’s going on in China.

China has most certainly lead the rise in value in Bitcoin these last several weeks. Bitcoin Magazine put a pin in it yesterday:

    First, it is important to note what the immediate causes of the price crash were. Although no one has access to an alternate universe simulator, and so we can never truly know what would have happened had certain events gone differently, certain facts about the Bitcoin economy allow us to make solid educated guesses. First of all, the bulk of the rise from $125 to $1000 was backed by Chinese speculation. Evidence that China was “leading the rally” is plentiful, ranging fromtechnical analysis on price movements around the time when Bitcoin broke through the 165 USD / 1000 CNY level, to BitcoinQt download statistics showing China climbing up to (and, as of the time of this writing, staying at) first place in the number of downloads, and the rapid growth of volume in Chinese exchanges, culminating in BTCChina taking over first place.

Many folks, like Bloomberg and Forbes, have erroneously asserted that China has “banned” Bitcoin in a statement on December 5th.. This isn’t, in fact, the case. I used to be a vice president for a large investment bank based in Hong Kong, so I can provide a little better insight than most on what’s going on with.

The People’s Bank of China has basically given the green light for Bitcoin trading and exchanges.  They are trying to keep Bitcoin trading “separate” from the other parts of the financial system so that if Bitcoin blows up, then nothing bad will happen.  The thing that I think they are worried about is a Lehman Brothers-style situation in which something blowing up in derivatives brings down the rest of the economy.

The strategy of creating a ring fence around new markets is a very standard one in China.  Hong Kong is an entire city that is ring fenced.

Outside of financial institutions covered by the People’s Bank of China regulation, there is no other legal restriction for using Bitcoins as the medium of transactions.

People aren’t prohibited from using Bitcoin to purchase things (like a currency), but I don’t want to use the word “currency” since legally speaking Bitcoin is not a currency in either Hong Kong or Mainland China.  The fact that Bitcoin is not a currency means that it can be used for transactions in Mainland China.  If it was a currency you couldn’t legally use it for a transaction in Mainland China, so the fact that the Chinese authorities consider bitcoin a commodity and not a currency is extremely important.

The same thing goes for Hong Kong.  You can use anything for a transaction, but if you convert currencies, you need a money broker license.

One good thing about the Chinese announcement is that by declaring bitcoin to be a “commodity” that creates legal certainty for how it is to be regulated.

In general, though, there is not a terrific amount of media coverage on the topic.  It only started to get on the radar screen a month ago. The main driver of interest in Bitcoin for China is that there is tons of money in China and no one knows what to do with it all.

The traditional investments (real estate and stocks) have been closed off by government action since the government has made it clear they will kill any bubble in the real estate and stock markets.  So the money is going into all sorts of “non-traditional” investments.  Bitcoin is simply just one of more attractive options right now.

Even so, geeks are the primary buyers.  So far, it’s not the type of thing that random people will buy; it’s not very mainstream.  However, it has taken the Chinese geek community by storm and there are a lot of geeks in China.  As with a lot of Chinese things, the fraction of people in China who are geeks is small, but a small fraction times a billion is a lot of people.

Bitcoin has not gotten much mainstream attention and it is still something that is with geeks, but you have the perfect storm of a lot of other things.  The main thing is that Bitcoin has hit China exactly at the time where China is looking at restructuring its entire economy and financial system to move out of low tech industries into high tech ones.  It also hit China at just the right time in the credit cycle.  China has recovered from the 2008 crash and is just starting to enter into another boom phase (which will last about two to three years before the economy crashes again).

source: http://siliconangle.com/blog/2013/12/08/bitcoin-china-meaning/

[I_bitcoin]

What's with the rally every night (when I want to go to sleep?) 

We are doing this to mess with you.

[macsga]

has mac gone to bed yet? I need to get some bids in. When's the rally? 30mins?

You guys are despicable! This totally unacceptable!!!

[adamstgBit]

has mac gone to bed yet? I need to get some bids in. When's the rally? 30mins?

yaaa 30mins

*buys all the bitcoins*

[Nemo1024]

Bid side of the order book on Bitstamp looks thin. I can't understand why the price stays up - nothing's supporting it. And that wall at 900 has been looming there for the whole day. Is someone waiting for funds so as to snatch almost 700 coins in front of the wall, before pulling it?

Didn't you buy in? Or have you sold again?

Sold at a small loss, didn't like being trapped against a wall.
Placed a few spread buy orders down into 700-s
It probably means the price will rally soon beyond 900.  
Oh, and I cashed out all my initial investments in BTC and mining equipment, plus a small bonus on top of that. That felt incredibly good. I feel much calmer, and the nagging feeling of fear deep down is gone. It's purely for fun from now and onwards.

I have my life back! I think...

has mac gone to bed yet? I need to get some bids in. When's the rally? 30mins?

Guys, not fair!  
Can the price do what I expect it to do at least once these past 10 days?!

[Vycid]

People sell but the price goes up  

Cmon did one mistake by selling yesterday, can we please go back to 800 for a second  

if we did, you'd think "why buy now? It'll go lower"

Probably

But really, I regret it so much (again) that I speculated (once again wrong) and sold, even though I tell my self I will hold forever.

I've been there. The worst type of sell is the "damn, i could have sold at the top but didnt, lets sell now and hope it goes down"

Did exactly the same in this recent crash... got shook out at the bottom thinking it had further to go, then frantically bought back in at a $150 loss. Think I'm just going to hold for ever until the moon or zero :/

You say that now ....

Btw, whats moon or 0? If it goes to $1m you may still be thinking it will go to $10m and end up holding.

If it goes to $1m of course you'd keep holding it. If it didn't go any higher you'd just spend it like cash.

[macsga]

/me gives that suspicious look to the mtgox chart...

[sumantso]

Bid side of the order book on Bitstamp looks thin. I can't understand why the price stays up - nothing's supporting it. And that wall at 900 has been looming there for the whole day. Is someone waiting for funds so as to snatch almost 700 coins in front of the wall, before pulling it?

Didn't you buy in? Or have you sold again?

Sold at a small loss, didn't like being trapped against a wall.
Placed a few spread buy orders down into 700-s
It probably means the price will rally soon beyond 900.  
Oh, and I cashed out all my initial investments in BTC and mining equipment, plus a small bonus on top of that. That felt incredibly good. I feel much calmer, and the nagging feeling of fear deep down is gone. It's purely for fun from now and onwards.

Dammit - why did you sell? I sold earlier (roughly similar to your initial sell point, but on Btc-e) and was wondering whether to buy when you bought. Now you had to go ahead and sell again and mess it all up

IMO, just stick to your guns now. At this rate even if you make some profit trade at some point it will come to nothing.

Nice to hear you cashing out and enjoying. Far too many people in here are waiting for the big prize and missing out on all the benefits money could have them right now. There was this guy who cashed out millions, paid his mortgages and virtually retired.

[Vycid]

Breaking out of that triangle in a big way. Anyone want to place bets on recovery or bull trap?

You mean an actual bet? Yeah, sure. I feel we will go visit the exponential trendline.

I am game. 10 BTC that we don't touch your exponential trendline in December?

The one that projects $428, not one that incorporates data up to Dec. 9.

Hey Risto, I was serious about this   Not sure if it got buried and you didn't see it.

Escrow is OK if you don't trust me.

[macsga]

Good night bears...

[mb300sd]

https://www.youtube.com/watch?v=LTarlbRLYpw

[Xer0]

want to arb the hell out of BTCe, do you think the price will keep over 900 the next 60min?

[sumantso]

want to arb the hell out of BTCe, do you think the price will keep over 900 the next 60min?

Quite likely. There doesn't seem to be big movements - its dull as a ditch today.

I presume you want to change Btc-e fiat to goxbux? Keep in mind that if it crashes Btc-e may drop far lower than gox. Plus goxbux are not the best currency around, worse than fiat.

[Nemo1024]

Bid side of the order book on Bitstamp looks thin. I can't understand why the price stays up - nothing's supporting it. And that wall at 900 has been looming there for the whole day. Is someone waiting for funds so as to snatch almost 700 coins in front of the wall, before pulling it?

Didn't you buy in? Or have you sold again?

Sold at a small loss, didn't like being trapped against a wall.
Placed a few spread buy orders down into 700-s
It probably means the price will rally soon beyond 900.  
Oh, and I cashed out all my initial investments in BTC and mining equipment, plus a small bonus on top of that. That felt incredibly good. I feel much calmer, and the nagging feeling of fear deep down is gone. It's purely for fun from now and onwards.

Dammit - why did you sell? I sold earlier (roughly similar to your initial sell point, but on Btc-e) and was wondering whether to buy when you bought. Now you had to go ahead and sell again and mess it all up

IMO, just stick to your guns now. At this rate even if you make some profit trade at some point it will come to nothing.

Nice to hear you cashing out and enjoying. Far too many people in here are waiting for the big prize and missing out on all the benefits money could have them right now. There was this guy who cashed out millions, paid his mortgages and virtually retired.

Wonderful to know that I am leading other trades by example, provided my trade decisions are multiplied by -1  

I am sticking to my current somewhat bearish overnight orders. And when I wake up, please, none of that $100 up nonsense I've been getting these past 3 days. Right? Right?

During these past days I made a few smaller trades that I didn't broadcast, and all I had to show was a wreck ball of nerves and a grand net of almost zero, with a minute pus sign.

[adamstgBit]

http://youtu.be/KjeVqDY_Wek?t=13s


UP UP UP!