Hi
much has been made about the sudden rise and fall of the price of bitcoin ( up to 1200 then down to 500 then up to 900 etc) over the last few months. however as i understand it there are about 12 million that have been mined. I assume then that most 95%?
are being held for long term use or other reasons and that very few are actually being traded so the market price is rather artificial in the sense it is mainly the same few bitcoins being bought and sold.
so can i assume
1.the large market fluctuations will continue for some time and
2. the Mt Gox or other exchanges' prices are not the price that large volumes would be traded at ie these would be done off market
thanks
