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

[JayJuanGee]

Prices have been boring for a long time now. What am I supposed to do, sit tight prettily? I want to feed on high volatility and troll those who made the wrong calls

Go up a lot, or down. Do something.

You guys realize that a stable coin is good for the cryptoconomy right?

Yes, stable does = good
But
Higher value also = good
So

We need to just go ahead and figure how big bitcoin needs to be and make it that value now so it can stay there and be stable

 

That's not going to happen until
BTC reaches a fairly high market cap, something like 100k per coin, and even then there will likely be continued and ongoing increases in value.

[abercrombie]

Bitcoin Bank for Chinese?

http://www.forbes.com/sites/ericxlmu/2014/07/12/major-chinese-exchanges-rolled-out-bitcoin-banking-services/

[JorgeStolfi]

I'm surprised no one is talking about the Gox creditor meeting on the 23rd as being a possible catalyst. Especially when the fate of 200,000 Bitcoins lies in the balance...

I think that read somewhere that Mark managed to convince the liquidators that a certain amount of the bitcoins in question were not owned by MtGOX but by the parent company Tibanne, so they should not be included in the MtGOX liquidation.  Did I only dream of it?

[ChartBuddy]

Explanation

[iram3130]

Why does the ask wall on stamp dance around like that?

Junk bot; this same bot has danced that ask wall to where it is now from like $680.. slowly creeping down.

You can't stop bot, these days bot is necessity for trader who do day trading.

Day trading sucks anyway and will likely put you into minus value.

Some people really earn too much with day trading, so you can't remove day trading in market movement.

[JorgeStolfi]

More importantly, Gox only has about $7 mil left in cash and a lot of people will claim cash over Bitcoins. That means there could be another large liquidation down the road.

It is my understanding that all bitcoins will be converted to cash by auction, and all the claimants will receive reimbursements in Yen, no matter what their claim is.  That is the usual liquidation rule in Japan as well as in the US, it seems.  (However MtGOX is a rather unusual bankruptcy, and perhaps they will treat it differently.) 

[alexeft]

Bitcoin Bank for Chinese?

http://www.forbes.com/sites/ericxlmu/2014/07/12/major-chinese-exchanges-rolled-out-bitcoin-banking-services/

Bitcoin bank? That is a contradiction in terms!!!!  

[abercrombie]

Bitcoin Bank for Chinese?

http://www.forbes.com/sites/ericxlmu/2014/07/12/major-chinese-exchanges-rolled-out-bitcoin-banking-services/

Bitcoin bank? That is a contradiction in terms!!!!  

Yea, I had to read over the article a couple times for it to sink in what it meant. 

[JorgeStolfi]

http://www.technews.org/active-stock-facebook-inc-nasdaqfb-to-enter-digital-payment-world/2910133/

What part of "trustless" do they not understand? Irelands central bank getting behind a propitiatory system, Brazils doing the same but on a different and likely incompatible platform, wonder who's next? Popcorn at the ready because they could all end up destroying themselves in a fight to monopolise digital money with platforms that simply cant compete with free

I owe you to check on that Brazilian thing.  (It may be just about "digital money", such as debit cards and boletos. When the BCB issued the standard warning to the people about the risks of cryptocurrrencies, they had to add a paragraph clarifying that cryptocurrencies were NOT "digital money"in the sense of Article NNN of Law XXX.)

But I can tell you already that Caixa Econômica is not just a Brazilian bank; it is the only remaining retail bank majoritarily owned by the federal government.  The federal government appoints its CEO, and uses it for its social assistance programs, like the Family Grant program and financing of low-cost housing.  It could not get any worse for Libertarians, I guess. 

[adamstgBit]

Bitcoin Bank for Chinese?

http://www.forbes.com/sites/ericxlmu/2014/07/12/major-chinese-exchanges-rolled-out-bitcoin-banking-services/

Bitcoin bank? That is a contradiction in terms!!!!  

Yea, I had to read over the article a couple times for it to sink in what it meant. 

chinese poeple, they're GRrrrrr8!

[adamstgBit]

Cost / Value continues to plummet, as Price slowly inches higher.
its time to buy.

[ChartBuddy]

Explanation

[adamstgBit]

[DubFX]

Bitcoin Bank for Chinese?

http://www.forbes.com/sites/ericxlmu/2014/07/12/major-chinese-exchanges-rolled-out-bitcoin-banking-services/

Bitcoin bank? That is a contradiction in terms!!!!  

And yet still no move upwards on huobi...why?

[adamstgBit]

Bitcoin Bank for Chinese?

http://www.forbes.com/sites/ericxlmu/2014/07/12/major-chinese-exchanges-rolled-out-bitcoin-banking-services/

Bitcoin bank? That is a contradiction in terms!!!!  

And yet still no move upwards on huobi...why?

often the bitcoin market price won't react to news because of fundamental market conditions, its no secret bitcoin was over valued at 1000$ last year, the  secret is that it was WAY over valued at 1000$ last year, Speculators bought and pumped then dumped, and they are still in the process of dumping for an unhealthy profit no doubt... so theres no reason to spike up 10% on bullish news when you still have plenty of sellers at 640.

pretty sure the bulk of this speculative money leaving has left at 700... at which point supply won't be what it use to be and were going to see 10 to 20% daily moves on news.

to sum up, selling now is nuts! but for some poeple not selling now is nuts! bitcoin is a hell of a ride.

[DubFX]

Bitcoin Bank for Chinese?

http://www.forbes.com/sites/ericxlmu/2014/07/12/major-chinese-exchanges-rolled-out-bitcoin-banking-services/

Bitcoin bank? That is a contradiction in terms!!!!  

And yet still no move upwards on huobi...why?

often the bitcoin market price won't react to news because of fundamental market conditions, its no secret bitcoin was over valued at 1000$ last year, the  secret is that it was WAY over valued at 1000$ last year, Speculators bought and pumped then dumped, and they are still in the process of dumping for an unhealthy profit no doubt... so theres no reason to spike up 10% on bullish news when you still have plenty of sellers at 640.

That's true but i think that when bad news come around or some FUD then value mostly goes down and traders react on these news..

[JorgeStolfi]

Bitcoin Bank for Chinese?

http://www.forbes.com/sites/ericxlmu/2014/07/12/major-chinese-exchanges-rolled-out-bitcoin-banking-services/

I believe that the Forbes blogpost author misses the point.  If you own a large amount of bitcoin, creating a bitcoin-backed investment fund (BBIF), like SMBIT, is an efficient way to sell those coins without depressing the price or looking like you lost faith in the Moon.

The idea is that instead of selling the bitcoins directly, you sell shares of the BBIF, which are pegged to the daily BTC market price.  Whenever some client buys some BBIF shares, the fund management company (FMC) is supposed to use his money to buy bitcoins.  If you are the FMC owner and manager, you just sell your own personal bitcoins (which you acquired for pennies years ago) to the FMC, at market price.

That way you can discreetly sell 20'000 BTC of yours in one go, at market price -- without the huge negative slippage you would face by selling on exchanges.  And the FMC gets to buy 20'000 BTC, to satisfy their contract with the BBIF client, at market price -- without the huge positive slippage (and hence loss) of buying them at the exchange.

Even if the bitcoin price crashes some day, the loss will fall entirely on the BBIF clients, since the BBIF shares will crash too; whereas the FMC and its shareholders will have still made a nice profit from the BBIF administration fees.

Indeed, if the FMC management can see a crash coming, they could make additional profit by selling the coins beforehand while the price is still high, and then liquidating the BBIF shares at the crash-bottom price.  Or vice-versa if they see a rally coming.  More generally, they could make additional profit, beyond the posted shares, by playing the market with the FMC coins (although that may be risky, and should be severely constrained by the BBIF contract).

The FMC could also use its coins to manipulate the market (given its minuscule liquidity) to inflate the price while selling the BBIF shares, and lowering it when some BBIF client decides to liquidate.  But, of course, no bitcoin entrepreneur would resort to such sleazy banker tricks in order to make money.

[adamstgBit]

Bitcoin Bank for Chinese?

http://www.forbes.com/sites/ericxlmu/2014/07/12/major-chinese-exchanges-rolled-out-bitcoin-banking-services/

Bitcoin bank? That is a contradiction in terms!!!!  

And yet still no move upwards on huobi...why?

often the bitcoin market price won't react to news because of fundamental market conditions, its no secret bitcoin was over valued at 1000$ last year, the  secret is that it was WAY over valued at 1000$ last year, Speculators bought and pumped then dumped, and they are still in the process of dumping for an unhealthy profit no doubt... so theres no reason to spike up 10% on bullish news when you still have plenty of sellers at 640.

That's true but i think that when bad news come around or some FUD then value mostly goes down and traders react on these news..

I was there, traders would have sold at 800 had it not been for the massive FUD storm that rolled in.  That FUD storm, forcing the speculative money out; it was inevitable and good! honestly price held up very well during this bear market. I dont think we will see 400 again even if we had another shit storm of bad news and epic FUD right now, again due to the Speculative nature of price, at this point 400 is off the table no matter what.

[JorgeStolfi]

Bitcoin Bank for Chinese?
http://www.forbes.com/sites/ericxlmu/2014/07/12/major-chinese-exchanges-rolled-out-bitcoin-banking-services/

And yet still no move upwards on huobi...why?

There was a +60 CNY sudden jump on the Chinese exchanges at about 2014-07-11 11:30 UTC, which is 19:30 China time.  It could have been someone hearing something about that (the Forbes post is dated 2014-07-12).

[ChartBuddy]

Explanation