MtGOX exchange rate artificially high

[Beta-coiner1]

One other strange thing is trends seem to be going higher as of late.

[mp420]

is their no way to withdraw USD out of gox,

can't they just wire money?

They can. International Bank Transfers are working fine.

The price is genuinely increasing, it's not because of a "bank run". This is evidenced in that there is no major decoupling of MtGox from other exchanges. That MtGox leads the price a bit is normal.

What do you think about the big decrease in sell pressure on Gox, and the big increase in sell pressure on Bitstamp? I'm not sure about the other exchanges.



Have you turned bullish in the short and/or medium term?

I think the high selling pressure on BitStamp is because of Europeans trying to get their money out of Gox. Even with the spread, it can be the cheapest option. The Gox rally is genuine, though, and not influenced by this very much.

I'm bearish in the medium term, by the way. Eventually the dumb money will run out. Smart money is out already.

[BitPirate]

There are a lot of cheap coins right there for the taking.

Imagine the panic buying if someone bought it all. Might inject a bit of volume into Gox too.

[Miz4r]

Just to put things in perspective, those 5-6k coins up to $122-123 would get eaten in seconds on MtGox. If there was a cheap and easy way to arbitrage those coins would disappear and hardly put a dent in the price on Gox.

[Ichthyo]

If there was a cheap and easy way to arbitrage those coins would disappear and hardly put a dent in the price on Gox.

Indeed. Bitfinex has placed a limit on the USD able to be sold on Mt.Gox to prevent all of their user's USD to gravitate into the Mt.Gox account. Thus, right now Bitfinex can't be used for arbitrage between Gox and Bitstamp.