ChartBuddy
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1CBuddyxy4FerT3hzMmi1Jz48ESzRw1ZzZ
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October 17, 2015, 08:02:00 PM |
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brg444
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October 17, 2015, 08:02:13 PM |
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Because the largest solo miner, for example, has publicly said they don't sell their bitcoins. Source? Vavilov told CoinDesk that it decided not to tap its bitcoin reserves as it remains bullish on the long-term value of bitcoin.
"We believe in the long-term perspective [the price of bitcoin] will grow and we decided to not to sell [our bitcoin] at such a low price," Vavilov added. |
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BlindMayorBitcorn
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October 17, 2015, 08:03:29 PM |
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tarmi
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October 17, 2015, 08:05:17 PM |
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My name is Randy, and I'm a member of MMM Global Bitcoin.
"Helping more people."
sounds like any bulltard here. ... when will the panic start? 220? |
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ImI
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October 17, 2015, 08:07:57 PM |
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nice discussion we got going here.  no i don't know exactly were freshly mined coins are going. nobody knows. everybody has just hear-and-say informations. i personally did some business some time ago with mining farm folks and my impression was they gave a shit about bitcoin. privately they held no more than a handful of coins maybe. for them it was just a better kind of investment as into high-yield-bonds or something. but i accept that bitfury may keep them, quite possible. nevertheless the market has to absorb 1 mioUS$ everyday, thats a fucking lot and halving will kick some ass. |
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phoenix1
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October 17, 2015, 08:14:19 PM |
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Because the largest solo miner, for example, has publicly said they don't sell their bitcoins. Source? Vavilov told CoinDesk that it decided not to tap its bitcoin reserves as it remains bullish on the long-term value of bitcoin.
"We believe in the long-term perspective [the price of bitcoin] will grow and we decided to not to sell [our bitcoin] at such a low price," Vavilov added. So, their funding rounds are basically to pay for their costs while they hold their coins. How could that possibly go wrong?  |
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brg444
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October 17, 2015, 08:17:25 PM |
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nice discussion we got going here. no i don't know exactly were freshly mined coins are going. nobody knows. everybody has just hear-and-say informations. i personally did some business some time ago with mining farm folks and my impression was they gave a shit about bitcoin. privately they held no more than a handful of coins maybe. for them it was just a better kind of investment as into high-yield-bonds or something. but i accept that bitfury may keep them, quite possible. nevertheless the market has to absorb 1 mioUS$ everyday, thats a fucking lot and halving will kick some ass. Make it half that |
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brg444
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October 17, 2015, 08:21:09 PM |
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Because the largest solo miner, for example, has publicly said they don't sell their bitcoins. Source? Vavilov told CoinDesk that it decided not to tap its bitcoin reserves as it remains bullish on the long-term value of bitcoin.
"We believe in the long-term perspective [the price of bitcoin] will grow and we decided to not to sell [our bitcoin] at such a low price," Vavilov added. So, their funding rounds are basically to pay for their costs while they hold their coins. How could that possibly go wrong? No, their funding round is likely to develop new ASIC technology and develop their infrastructure. As I've said previously they've had other revenue sources in the past which might still pay for their existing costs. Moreover I'm quite confident their energy costs are absurdly low since they seem to have quite a special relation with the government where their farms are set up (Georgia) |
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brg444
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October 17, 2015, 08:22:54 PM |
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... can you read? "We believe in the long-term perspective [the price of bitcoin] will grow and we decided to not to sell [our bitcoin] at such a low price," Vavilov added. If 350-400$ was a low price back then what do you believe they consider 250 nowadays? Spare me with your trolling... |
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phoenix1
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October 17, 2015, 08:32:05 PM |
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nice discussion we got going here. no i don't know exactly were freshly mined coins are going. nobody knows. everybody has just hear-and-say informations. i personally did some business some time ago with mining farm folks and my impression was they gave a shit about bitcoin. privately they held no more than a handful of coins maybe. for them it was just a better kind of investment as into high-yield-bonds or something. but i accept that bitfury may keep them, quite possible. nevertheless the market has to absorb 1 mioUS$ everyday, thats a fucking lot and halving will kick some ass. Make it half that If they are not selling their coins, then they need to raise *an* amount of fresh capital (or use reserves) every day to cover production costs and keep the lights on. Either way, the money has to come into the system unless they have 'free' electricity. If they are not selling the production it is hard to see how much of the new funding can go into development of infrastructure in an environment of falling prices (which presumably means they are even more reluctant to sell ...) Well, I guess we know now where the VC money is really going. Whether that was their intention or not is another matter ... Probably gives them a bit of extra leeway to 'massage' the market ... can't believe they would sit on their hands and not buy more if it they were too cheap to sell at $350-$400 ish ... |
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yolalanda
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October 17, 2015, 08:33:10 PM |
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If 350-400$ was a low price back then what do you believe they consider 250 nowadays?
They don't care, because 1. They're already wealthy people.
2. They have loads of VC money
3. They used to make what is likely to be ridiculous amounts of profits selling mining gear.
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yefi
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October 17, 2015, 08:33:57 PM |
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If 350-400$ was a low price back then what do you believe they consider 250 nowadays? A lesson? |
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molecular
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October 17, 2015, 08:42:58 PM |
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todays miners are not bitcoin-enthusiasts anymore, they sell their coins as fast as they can.
I've been making that assumption. But is there any evidence? therefore the halving will be a big fucking kick in their ass.
are you suggesting they should start to HODL more? (I agree of course) but that would make the price go up in anticipation of the halving!?! |
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molecular
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October 17, 2015, 08:47:06 PM |
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The idea that 3600 coins are being dumped on the market daily is a myth.
3600 coins are created daily. demand absorbs them, otherwise price would fall. nothing mythical about it. |
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brg444
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October 17, 2015, 08:48:39 PM |
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If 350-400$ was a low price back then what do you believe they consider 250 nowadays? A lesson? Yes, I'm sure millionaires that have probably been mining since the double digits days are quite bothered by a price drop. .... or maybe not http://www.coindesk.com/bitfury-details-100-million-georgia-data-center/BitFury will invest $100m in building a 100MW bitcoin mining data centre in Georgia |
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brg444
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October 17, 2015, 08:50:04 PM |
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The idea that 3600 coins are being dumped on the market daily is a myth.
3600 coins are created daily. demand absorbs them, otherwise price would fall. nothing mythical about it. Well to be clear the myth is that miners sell those coins on the market which would definitely affect the price. In reality it isn't so black and white and a considerable portion of coins are certainly held by these same miners. |
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Fatman3001
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Make Bitcoin glow with ENIAC
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October 17, 2015, 08:51:16 PM |
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how do they pay electricity if they don't sell their coins? 15 % of the network today is like few MW a month.
The entire network probably pulls around 250MW. At 4 cents per kw/h that's $240,000 per day in electricity. Which would be 1000 coins a day when the price is $240. Now at $263 that's 912.5 coins. At $300 that's 800 coins. Now that's just electricity, but if you assume that a large part of the mining community wants to keep as many coins as possible until prices improve you might expect the supply of coins to tighten as the price moves up. Could you offer TL;DR of how you've arrived at 250MW? Not doubting you, just wondering what that number is meant to represent. The network is at 500 petahash and the machines are pulling an average of 0.5w/gh (Ant s3 0.7w/gh, SP-tech 0.6w/gh, ant s5 0.5w/gh and newer gear 0.25w/gh). As far as miners wishing to sell coins when they're worth less and hold on to them once they're worth more? Seems a bit counterintuitive, can you walk me through your reasoning?
I think a lot of miners see BTC as undervalued now and want to hold as much as possible until the price heads north. That's a messy business model, so I'm not sure how many can convince their investment partners to agree to it. But I seriously doubt that there are that many who don't have a business model where the mine pays its own bills. As in where bills are paid out of the owners pockets rather than selling minted coins. They are probably out there, but I don't think they're a major factor. However, there is a reason why I wrote "if you assume". I can't wholeheartedly support this theory. It may very well be that a large majority converts all of their coins fairly immediately. That's a tidy and safe business model..... then again, nothing is safe in Bitcoinland. ¯\_(ツ)_/¯ |
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adaseb
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October 17, 2015, 08:58:49 PM |
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You guys are bad at trading. Looking at the daily charts the major resistance and supply area is around $300. Whenever price hit that area there was massive selling. Most likely that will be the top in the near term, then it will either go back down to the $220's or hopefully would break the $300 and then retest it on heading higher.
I don't see it breaking $300 yet, maybe closer to the halving.
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