We're learning ... the difference between price and value is.
Mid-lesson. The hard way.
Can you both elaborate please.
I Wanna learn too.
Absolutely, follow me...
BCH All Time High on Bittrex: $1,311
BCH All Time High on Kraken: $811
Meanwhile bitcoin peaked at $2,900.
Could it be that everybody is holding because:
- we can never be sure how things are going to turn out.
- both blockchains could end-up being equally valuable in their own way.
- most bitcoin owners are not poor peasants looking forward make a few thousand dollars for free.
- nobody uses bitcoin in real life so pure speculation is what drives the price and not market economics.
- holding is life.
And of course, most people are retards and didn't move their coins to Kraken, Bittrex and ViaBTC even though they had weeks to prepare. So we might have yet to see real volume.
You are quoting exchanges that people are having a hard time getting any coins either on or off or confirmed. Kraken said they would be days not sure the status yet. Bittrex has an * beside the price on
https://coinmarketcap.com/currencies/bitcoin-cash/#marketsSo what will happen is everyone that doesn't believe in bcash will cash in and this will bring downward pressure onto the price as they sell. If no one can access the trades/exchanges then the price won't move down. But you can't argue that the highers price is real and an indication of VALUE because of the *'s.
These exchanges (at various times because the *'s are being updated) prices are not necessarily including in the make up of the price which is why it is far lower than these fake exchange prices.
In order to survive bcash needs to first have a reasonable match of its price to its value. And that means enough honest/competing exchanges must participate in the make-up of the price and coinmarketcap will be a good indicator. The markets must have a sufficient depth.
It means bcash must whether this storm and so someone is literally expected to prop up this coin until everyone is done getting the free money.
So the price might not move, it won't like stay higher than it is, as it will be difficult for it to gain legs as everyone dumps. It depends how bad these people want this to work and what they are willing to expend.
What seems likely though is as the price goes down most people will panic sell together. Even supporters of bcash because its rational to sell and wait and buy back in if you think that its an irrational crash.
Price and value are not the same thing. And today we learn this empirically.
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