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

[lyth0s]

i wish someone could explain to me this in english, I understand that a short is betting that it will go down, long the opposite, but how does it work in detail? can someone give me an example? like they were explaining it to a 5 year old? lol.

Why does it matter that there are 7300 shorts? because thats a shit ton?

Shorting can be seen as this: Right now BTC price is $500 a coin (example) and you think it will be $400 in a week. You don't have any Bitcoins to sell yourself right now so you basically "borrow" someone elses 10 bitcoins and sell them for $500 now. You now have $5,000, but you owe that "person" back 10 coins. So as it turns out your right and the price drops to $400, you now buy back the 10 coins you owed at $400 each, so you spend $4000 and you pay that person's coins back. You just made $1,000 off a falling bitcoin price.

I'm sure someone that uses bitfinex or any other stock exchange often can explain it far better than I, but that's a start. So a high amount of short orders right now, means that many many people are feeling the BTC price will continue to fall....and they are putting their money where there mouth is.

[Richy_T]

He does that kind of thing a lot with the English language, i.e. calling a country "Holland", but every thing from that country "Dutch"

This is kinda fun

http://www.cgpgrey.com/blog/the-difference-between-holland-the-netherlands

[JorgeStolfi]

HELLO!!!!   At one minute, you seem to be defending Coinbase's business practices as ordinary and regular, and then you put these little digs of corruption to suggest that all businesses have corruption.. WTF?

Businesses are composed of individuals, and some individuals are corrupt, but NOT everyone is corrupt.  GET a grip!!   

I did not say either of those things.

I did not accuse or defend Coinbase about anything, just pointed out what would obviously be their interest and need.

I did not say that middlemen taking a slice of the profit is corruption.  Obviously, if they did not do that, there would be no middlemen.  And of course they try to take as much profit as they can, like everybody else.

Pretty sure this entire thread is just Adam talking to himself with alt accounts.

I swear by God, by God, by God, creator of heaven and of Earth, and by His manifestations visible and invisible, and by my Prophet Mohammed Al-Mustafa who taught and confirmed and showed the Faith that we Moors and Suleimans believe, and by the Quran in which it is written in Arabic the Faith that we have, and by the Psalter of David and by the Gospels of Jesus Christ and by the hundred and twenty four Prophets of God of which Adam was the first, and by the soul of the blessed my Father, and by the life of my children, and by my head, and by the sword that I carry that JayJuanGee is not a sockpuppet account that I created for the sole purpose of inflating the count of posts about my person.

[bigasic]

i wish someone could explain to me this in english, I understand that a short is betting that it will go down, long the opposite, but how does it work in detail? can someone give me an example? like they were explaining it to a 5 year old? lol.

Why does it matter that there are 7300 shorts? because thats a shit ton?

Shorting can be seen as this: Right now BTC price is $500 a coin (example) and you think it will be $400 in a week. You don't have any Bitcoins to sell yourself right now so you basically "borrow" someone elses 10 bitcoins and sell them for $500 now. You now have $5,000, but you owe that "person" back 10 coins. So as it turns out your right and the price drops to $400, you now buy back the 10 coins you owed at $400 each, so you spend $4000 and you pay that person's coins back. You just made $1,000 off a falling bitcoin price.

I'm sure someone that uses bitfinex or any other stock exchange often can explain it far better than I, but that's a start. So a high amount of short orders right now, means that many many people are feeling the BTC price will continue to fall....and they are putting their money where there mouth is.

So, lets say I shorted, like in your scenario, could I sell at 450 and only make 500? or do I have to wait til I hit 400?or if it plummets further can I sell at 350 and make 1500? is that right? now, what if it doesn't go down, when am i screwed with a margin call?

[Sandia]

i wish someone could explain to me this in english, I understand that a short is betting that it will go down, long the opposite, but how does it work in detail? can someone give me an example? like they were explaining it to a 5 year old? lol.

Why does it matter that there are 7300 shorts? because thats a shit ton?

Short: Somebody borrows bitcoins and sells them. Later he will buy bitcoins at lower price and returns them to the lender + interest.
Long: Borrow $$ then buy BTC and sell them later.

On Bitfinex, they have a claim option.  If you buy 10 coins at $100, and the price goes up $20, you have $200 profit (10 coins x 20 USD).
You can sell 8 coins, and use the $200 profit to "claim" the remaining 2 coins at the original $100 price.

This means you don't necessarily have to sell all of the original 10 coins.

[Walsoraj]

http://coinorama.net/

Bid sum shows signs of recovering. Probably at bottom (for today).

This turned out to be an epic call of unprecedented precision.

I demand respect and adoration from every bull in this thread. A brief statement about how awesome I am will suffice for now.

[fonzie]

I swear by God, by God, by God, creator of heaven and of Earth, and by His manifestations visible and invisible, and by my Prophet Mohammed Al-Mustafa who taught and confirmed and showed the Faith that we Moors and Suleimans believe, and by the Quran in which it is written in Arabic the Faith that we have, and by the Psalter of David and by the Gospels of Jesus Christ and by the hundred and twenty four Prophets of God of which Adam was the first, and by the soul of the blessed my Father, and by the life of my children, and by my head, and by the sword that I carry that JayJuanGee is not a sockpuppet account that I created for the sole purpose of inflating the count of posts about my person.

 

[kireinaha]

It's feeling a bit top-ish again, isn't it? Looks like our one day reprieve from the freefall might be coming to a close. Just my gut instinct.

[hd060053]

BTC China is taking over control in chinese market. Higher volume than huobi / okcoin.

why ?

[Walsoraj]

BTC China is taking over control in chinese market. Higher volume than huobi / okcoin.

why ?

I wouldn't be surprised to learn that Coinbase now buys from BTCChina, instead of Stamp.

[bigasic]

i wish someone could explain to me this in english, I understand that a short is betting that it will go down, long the opposite, but how does it work in detail? can someone give me an example? like they were explaining it to a 5 year old? lol.

Why does it matter that there are 7300 shorts? because thats a shit ton?

Short: Somebody borrows bitcoins and sells them. Later he will buy bitcoins at lower price and returns them to the lender + interest.
Long: Borrow $$ then buy BTC and sell them later.

On Bitfinex, they have a claim option.  If you buy 10 coins at $100, and the price goes up $20, you have $200 profit (10 coins x 20 USD).
You can sell 8 coins, and use the $200 profit to "claim" the remaining 2 coins at the original $100 price.

This means you don't necessarily have to sell all of the original 10 coins.

this just sounds so damned confusing, lol and extremely risky..But very profitable if you guessed the right way. Also, this only works by borrowing either coins or money, right? there needs to be a class on this somewhere, lol.. bitfinex explains it like you already know what you are doing..

[dropt]

http://coinorama.net/

Bid sum shows signs of recovering. Probably at bottom (for today).

This turned out to be an epic call of unprecedented precision.

I demand respect and adoration from every bull in this thread. A brief statement about how awesome I am will suffice for now.

[Sandia]

i wish someone could explain to me this in english, I understand that a short is betting that it will go down, long the opposite, but how does it work in detail? can someone give me an example? like they were explaining it to a 5 year old? lol.

Why does it matter that there are 7300 shorts? because thats a shit ton?

Short: Somebody borrows bitcoins and sells them. Later he will buy bitcoins at lower price and returns them to the lender + interest.
Long: Borrow $$ then buy BTC and sell them later.

On Bitfinex, they have a claim option.  If you buy 10 coins at $100, and the price goes up $20, you have $200 profit (10 coins x 20 USD).
You can sell 8 coins, and use the $200 profit to "claim" the remaining 2 coins at the original $100 price.

This means you don't necessarily have to sell all of the original 10 coins.

this just sounds so damned confusing, lol and extremely risky..But very profitable if you guessed the right way. Also, this only works by borrowing either coins or money, right? there needs to be a class on this somewhere, lol.. bitfinex explains it like you already know what you are doing..

It is gambling, and you can lose everything with 1 bad decision.
If you are at maximum leverage on Bfx, it only takes a 20% drop to wipe you out.

[hyphymikey]

BTC China is taking over control in chinese market. Higher volume than huobi / okcoin.

why ?

Maybe new money is coming in and they know BTC China has real volume.

[ChartBuddy]

Explanation

[adamstgBit]

interesting data, in the last few days:

longs are down ~38.4%
shorts are up ~43.7%
price has dropped ~18%

so if longs are down and short are up , who the fuck is buying all the coins?

[magicmexican]

Meanwhile the bitcoinbuilder.com is offline, looks like my goxcoins are gone 

[Walsoraj]

an interesting fact

in the last few days:

longs are down ~38.4% short are up ~43.7%  price has dropped ~18%

so if longs are down and short are up , who the fuck is buying all the coins?

Willy 2.0

[adamstgBit]

an interesting fact

in the last few days:

longs are down ~38.4% short are up ~43.7%  price has dropped ~18%

so if longs are down and short are up , who the fuck is buying all the coins?

Willy 2.0

non leveraged true believers ( aka: investor not trader)

bears are doomed.

[grappa_barricata]

interesting data, in the last few days:

longs are down ~38.4%
shorts are up ~43.7%
price has dropped ~18%

so if longs are down and short are up , who the fuck is buying all the coins?

A very good question indeed...