What is dumping all about?

[jcharles]

I read that someone was getting nasty comments from other users because he was planning on dumping on BQC and somehow decreasing the worth of it.
What is dumping and what is its potential consequences?

[Happy5154]

It's going down hill!

[jcharles]

Can you elaborate on that?
How negatively does it affect the value of that coin?

[FreedomFund]

Can you elaborate on that?
How negatively does it affect the value of that coin?

depends on how much is being dumped at one time, how many people are also dumping at that same time.  Everybody trying to sell at the same time will cause the price to drop

[mrefish]

New coins don't have much trade volume yet, so somebody has to hold them as a static investment until a strong user base is found.

Dumping moves them between speculators, leading to lower prices in the medium term.

[jcharles]

Can you elaborate on that?
How negatively does it affect the value of that coin?

depends on how much is being dumped at one time, how many people are also dumping at that same time.  Everybody trying to sell at the same time will cause the price to drop

So is there a possibility of collapse at one point?
At what point do you think that would be?

[jcharles]

How do prices come back up then after someone has dumped a lot?

[FreedomFund]

Can you elaborate on that?
How negatively does it affect the value of that coin?

depends on how much is being dumped at one time, how many people are also dumping at that same time.  Everybody trying to sell at the same time will cause the price to drop

So is there a possibility of collapse at one point?
At what point do you think that would be?

Too many people selling at one time can lead to a price collapse.  It depends on the fundamentals of the thing being dumped. 

[FreedomFund]

How do prices come back up then after someone has dumped a lot?

Bit coin was at $260 then got "dumped" down to $60, now it's trading at $100.  The price fluctuated based on the underlying confidence in the currency.  If the fundamentals are solid, then even after something is "dumped" it will bounce back.  Patience is key for that moment.

[sirbellos]

Freicoin

[squid314]

The value (or price) of a currency is very similar to other things in markets. If the demand for an item (in this case, Bitcoin) exceeds the supply, the price of it will rise. Alternatively, if the supply exceeds demand, the price drops. The term dumping is used to describe a situation where 1 or more parties who hold a large quantity of the item place it on the market, greatly increasing the supply and driving the price downward. The only way for the price to rise again is for there to be an increase in the demand.

[iram9173]

Its selling like crazy at low price.