Why doesn't the LTC/BTC increase when BTC drops like SC/BTC does?

[Mousepotato]

This is frustrating.  I'm dumping all my available resources into mining and buying LTC and when BTC drops the LTC/BTC exchange rate stats exactly the same. On the other hand the SC/BTC rate seems to increase commensurate with the drop in BTC.  At this rate it feels like I'd be better off just accumulating SC as a hedge against BTC fluctuations.  I feel like I'm taking crazy pills!

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[Matoking]

Coinhunter has manipulated the block subsidy in order to "increase" the value of Solidcoins.

In the beginning it was 32SC, then it was decreased to 5SC and at the moment it is 0.05SC.

[dree12]

I assume Litecoin is tied to Bitcoin entirely, so people are reluctant to value it based on fiat. SolidCoin, on the other hand, has a decent-sized SC/USD exchange, probably big enough to allow arbitrators the ability to move the price/BTC up.

[rini17]

Yes, Litecoin has no own economy outside btc realm. For me this isn't surprising.

[Mousepotato]

Can the attempted FUD slinging get any more lame or blatant by the Coinhunter sockies?

~BCX~

 

[dree12]

Can the attempted FUD slinging get any more lame or blatant by the Coinhunter sockies?

~BCX~

I haven't seen any FUD slinging in here.

[late443]

Once LTC starts to develop (more than it already is) and more people look to exchanging it for USD Etc the prices will fluctuate accordingly.
Also the volume of LTC being sold is still pretty low.
please fell free to correct me I am a little confused myself.

[Gabi]

Ignore SC

About LTC, it's related to BTC, if BTC price drops why LTC/BTC should increase? Sure, LTC isn't BTC, but they are totally related, they have the same economy etc... so there can be differences between ltc and btc, but if btc price in dollars change, it of course means the same for ltc.

[markm]

I don't think this is happening only to LiTeCoin, but generally to most alt-chain coins, it least on Vircurex exchange.

I thought one might be able to shelter in altcoins from the recent drop in prices of bitcoin, then move back into bitcoin later. But the altcoin markets seem to be so stagnant that they are not adapting. The price of altcoins seems cheaper and cheaper as bitcoin drops, thanks to Vircurex seeming to only have coinpairs in which BTC is the first item of the pair, but if the prices are not adapting there seems no reason to expect to be able to move back to bitcoin later at a gain.

As was already indicated earlier, the coins do not seem to have found their market yet, none of them except devcoin seem to have any particular purpose, they are basically micropenny-stocks in pointless corps that have no real functions assets or markets. In a way this section of these forums is like a very abstract version of the Galactic Milieu, with a larger number of "nations" and/or "corps" issuing their own "national" or "corporate" currencies, but without the actual backdrop of planets owned, colonies mining resources, fleets of starships ready to transport resources or attack or defend holdings and so on.

Maybe it would actually be helpful to create a Freeciv nation per each altcoin and get it into the Freeciv distribution so that it can be a civilisation in the Galactic Milieu and maybe thus convince other entities in the milieu to make it part of their "reserves" with which they "back" their own currencies.

-MarkM-

[CoinHunter]

Part of the reason SolidCoin price cannot drop that much is because the coin inflation right now is only about 40SC per day. When you have investors and pools actively buying up the rest of the SolidCoins that were "mined cheap" there is only one way the price can go.

http://solidcoin.info/economy.html

SolidCoin can no longer be dumped or mined by people with little energy investment. It costs more to produce 1 SolidCoin than it does a Bitcoin, by a factor of 2-4x, and due to the algorithm in place (which factors in electricity price increases and moores law), it should remain this way for quite some time.

To put it in perspective, it costs a bitcoin miner on a FPGA about $0.04 to make a single Bitcoin, and a GPU about $0.75 right now. On the other hand it costs a CPU or GPU anywhere from $1 to $20 to make a SolidCoin, regardless of the difficulty. As SolidCoin's price increases and mining becomes profitable again we will get more miners and the amount of inflation will increase to handle it. It's a type of automatic inflation/deflation control. You can read more on it here :-

http://solidcoin.info/myths.html#SolidCoin_can.27t_work_because_there_is_no_way_to_control_inflation

[markm]

Is there an exchange that, like Vircurex, features most altcoins, but which has Solidcoin as the backbone currency against which all others are paired?

-MarkM-

[CoinHunter]

Is there an exchange that, like Vircurex, features most altcoins, but which has Solidcoin as the backbone currency against which all others are paired?

-MarkM-

Not that I'm aware of , but people talk about such a thing time to time in the #solidcoin IRC channel. I'm not quite sure if the other altcoins have that much "Market" that they can be split up into so many exchanges without the volume being hard to trade under.

Even SolidCoin has some difficulties with 2 exchanges split pretty evenly. For some reason the mtgox owning 95+% of the market trade model seems to work best, and I think bitcoin would struggle somewhat if it didn't have that massively centralized exchange. That being said, having other exchanges around is quite useful as when one exchange closes people can quickly move to another.

[CoinHunter]

Is there an exchange that, like Vircurex, features most altcoins, but which has Solidcoin as the backbone currency against which all others are paired?

-MarkM-

SLC24.com

That only has NMC, so wouldn't qualify for his "most altcoins". Would be interesting to see SLC24 offer the others though.

[markm]

Splitting the market is actually quite extreme in my Open Transactions server, because not only is each pair a market, and each pair able to appear both ways round without the two acting as one market, there is also the scale factor that separates each permutation into scales. The available scales have been limited to integer powers of ten but still this makes for a heck of a lot of completely distinct markets. I hope that this will simply lead to the deployment of smart bots that will in effect become the "missing" connections between the scales and the mirrored pairs.

-MarkM-

[CoinHunter]

Splitting the market is actually quite extreme in my Open Transactions server, because not only is each pair a market, and each pair able to appear both ways round without the two acting as one market, there is also the scale factor that separates each permutation into scales. The available scales have been limited to integer powers of ten but still this makes for a heck of a lot of completely distinct markets. I hope that this will simply lead to the deployment of smart bots that will in effect become the "missing" connections between the scales and the mirrored pairs.

-MarkM-

Yeah that is interesting. I think the way you do it is the most "correct" way but when it comes to how people like to trade they certainly seem to like "one main source". All of the cryptocoins are minnows in the world market so who knows what will eventually end up as the dominant form of trading if any of them go big.

[Mousepotato]

Can the attempted FUD slinging get any more lame or blatant by the Coinhunter sockies?

~BCX~

 

Maybe I was a little harsh... I mean anyone that's a Seal Cub Clubbing Memeber can't be that bad !

No worries   I'm just frustrated, that's all.  I bought a few thousand at .0027XX and thought I got a good deal (I actually still do), but then the BTC took a downturn over the weekend and instead of LTCs increasing in value to compensate, they stayed in parity with BTC.  But SC seemed to have increased in value as a response to the drop.  Normally I wouldn't even care but now I have skin in the game, so to speak (or however that chicken & pig analogy goes anyway), I'm paying more attention to the fluctuations.  Maybe that's my problem to begin with.  I think I should just not look at the charts for a few weeks

[kjlimo]

Like it or not Solidcoin has a few businesses that accept solidcoins.

That's called an economy.

BTC & SLC r the only cryptocurrencies with economies.

All the other alt coins are just experiments @ this point...

[illpoet]

i've bought a few things with litecoins. nothing serious just a shirt and some semi precious stones. but more and more ppl are accepting ltc for stuff.