Order Book Graph

[Sukut]

I do not know much about trading, so I have a question for the ones who knows.

It got my attention that for the last couple of days almost no one wants to buy BTC because its price is high, while there are so many people who want to sell and make profit (see the graph). My question or misconception pops at this point. As an extreme example, if everyone wants to sell and no one wants to buy in the market how is the price of BTC going up? Is checking the order book a bad/useless practice when trading?


BTC/USD - The order book graph from Bittrex at 8pm on Nov 27th, 2017

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[mulukey]

I usually buy when I see a big difference between buying volume and selling volume. If buy volume is bigger than sell I will buy in and vice versa. This is how I look at the graph to tradecoin.

[Sukut]

I usually buy when I see a big difference between buying volume and selling volume. If buy volume is bigger than sell I will buy in and vice versa. This is how I look at the graph to tradecoin.

That is what I do too. That is also kind of what I am asking.

If you sold BTC when it was 9100 and the selling volume is huge, you missed out on it when it reached 9700. It got there with a huge selling volume and a very tiny buying volume. That is what I do not understand.

[mk4]

This usually happens after big price spikes and recent all-time-hights; and yes, chances are, the price will dip a bit. But it doesn't mean that the price can't go higher. Those huge sell walls can easily be broken down by an influx of buyers and or buyers with huge bankrolls or a combination of both.