The Bitcoin Thread

Status
Not open for further replies.
Dolby said:
Wouldn't all the action take place in the green?
I mean, who and why would anyone buy/sell so cheap?
Those people taking a chance?
Click to expand...

The action takes place where a buy order matches the price of a sell order. There is simply no trade until that happens. You can put in a order to buy/sell at a certain price and leave it until it matches or you can match the price of a buy/sell to do a quick deal if you don't care about a a few $$ either way, so some of those orders may have been sitting a while. But remember the order quantity as well - so in that order book you could sell at 5209 but you could only sell 0.1122 BTC. The example you posted is looking quite bearish because there are larger quantities up for sale than there is demand for, so if those sellers want to get rid of their stock they'd have to adjust their prices down to have their sell orders fulfilled by the available demand.
 
Thanks.

And the International thing?

So it's pointless for me watching the US$ and factoring in the exchange rate?
 
Dolby said:
Thanks.

And the International thing?

So it's pointless for me watching the US$ and factoring in the exchange rate?
Click to expand...

Not sure what you're asking. The Rand price bid/offers of BTC trading on BitX will reflect fluctuations in R/$ - or you could trade in $ on an international exchange although more complicated as most won't let you buy direct in SA Rands.
 
Yea, that's what I mean.

So R/$ is R14.00 today and I'm paying R5,000 at BitX. If WWIII breaks out and this jumps to R18.00, will my investment increase too.
 
Dolby said:
Yea, that's what I mean.

So R/$ is R14.00 today and I'm paying R5,000 at BitX. If WWIII breaks out and this jumps to R18.00, will my investment increase too.
Click to expand...

Yes. The market will adjust immediately and you could sell the same BTC for about R6500, everything else being equal.
 
garp said:
Yes. The market will adjust immediately and you could sell the same BTC for about R6500, everything else being equal.
Click to expand...

So just like the regular stock market,
Its affected by world events?

So earlier this month, when it jumped to almost 7000 a btc, what happened there?
 
eg2505 said:
So just like the regular stock market,
Its affected by world events?

So earlier this month, when it jumped to almost 7000 a btc, what happened there?
Click to expand...

It is affected primarily by how many people take it seriously as a currency, how many transactions are actually being conducted in BTC, concerns about it's long term scalability, the rate at which it is being mined, and demand factors such as the extent to which it is seen (rightly or wrongly) as a hedge against fiat currency. The recent price spike remains a bit of mystery as none of the pundits have any definitive explanation but the speculation is that it was caused either by a pyramid scheme that had nothing to do with BTC apart from the requirement for members to buy in using BTC, or by increased demand in China due to their restrictive internal capital controls.

It is extremely volatile and not for the faint hearted speculator. It could ultimately be worth nothing, it could ultimately be worth millions. The mantra of the Bitcoin evangelists is that the price doesn't matter, using it as an alternative currency, not an investment, is it's true purpose.

That being said, it is showing signs of maturing and stabilizing, notwithstanding the recent spike. I wouldn't store my life's savings in BTC, or use it seriously as a rand hedge, but holding a few BTC might pay off royally in the long run and it is potentially a very convenient way of moving money around or keeping a small backup stash of funds if you're more the "fiat currency is doomed" type.
 
I don't think it's for me.

Seems it operate independently from 'global' bitcoin. I mean I see the price and RoE remain relatively stable and unchanged during the day, yet BitX fluctuates locally. Sometimes I go to bed and it's $320.00 ... wake up to $322.00 ... and my stuff has dropped from R5,000 to R4,500.00

If I could speculate with RoE etc, then great - but it appears random

Perhaps I just don't understand enough

EDIT :I mean it dropped in the last 10 minutes to R4,750.00 ... yet bitcoin value has been stable in that time and RoE got worse. Surely this should make it go UP
 
Wouldn't know, I've not gambled that much,

But when it jumps and you were lucky enough to buy when the price was cheap, and. Suddenly it jump...

Could happen with shares as well, but unless you can do insider trading, or know something others don't know, got a nice chance to win nicely.
 
Dolby said:
So R/$ is R14.00 today and I'm paying R5,000 at BitX. If WWIII breaks out and this jumps to R18.00, will my investment increase too.
Click to expand...

garp said:
Yes. The market will adjust immediately and you could sell the same BTC for about R6500, everything else being equal.
Click to expand...

Things aren't working like that - unless I'm missing something. I thought if I bought coins and US$ suddenly jumped, I'd score all things being equal. But they're seemingly uneffected

At around 11.00am there is a fairly large spike - but nothing on BitX. The rate didn't fluctuate much today, but when it did there wasn't much activity.

In fact, when the rate devalued from R13.99 to R14.11 (+1%) I lost value
Additionally, when Bitcoin increased from $319 to $325 (+2%), I pretty much stayed the same

Untitled.jpg
 
Last edited:
Dolby said:
Things aren't working like that - unless I'm missing something. I thought if I bought coins and US$ suddenly jumped, I'd score all things being equal. But they're seemingly uneffected

At around 11.00am there is a fairly large spike - but nothing on BitX. The rate didn't fluctuate much today, but when it did there wasn't much activity.

In fact, when the rate devalued from R13.99 to R14.11 (+1%) I lost value
Additionally, when Bitcoin increased from $319 to $325 (+2%), I pretty much stayed the same
Click to expand...

If you look here - https://cryptowat.ch/bitx/btczar - you can compare with the other exhanges and you'll see that the BTC price movements match on the various exchanges in their local currencies as you switch between them. It's just that the BitX market seems to value them at a premium in Rands.
 
eg2505 said:
Again very odd,

What's the catylyst? Something must have happened to enable this,

Otherwise Its like a roulette wheel, never know what next it'll do.
Click to expand...

I've already told you. It's market manipulation, plain and simple.

There are two options: either try to beat the manipulators at their own game or treat it exactly like a roulette wheel.

Three options actually; don't get involved in the first place ;)
 
eg2505 said:
Again very odd,

What's the catylyst? Something must have happened to enable this,

Otherwise Its like a roulette wheel, never know what next it'll do.
Click to expand...

Well, apart from the Chinese and the MMM Ponzi, one theory is that the Chinese (and others) are putting a portion of their monthly salaries into it which could explain some of the Oct and Nov month end spikes, but really nobody seems to have a handle on it.
 
I want to double check something -
Family is trying to convince me to invest in something, essentially a mining operation. Now that is fine(ish), but the returns are essentially constant at 20%, done by adding BTC to your account (at the mining operation, not your actual BTC account) each day. Now from my understanding, unless they are adding mining capacity the whole time, there is no ways they could keep that up since difficulty goes up roughly every 2-3 weeks, meaning returns should go down too. What I suspect is they are adding fake BTC to your mining account and you'll be surprised when trying to withdraw? Right? All just seems too easy (barring the minimum 2 BTC investment they ask for).
Linky linky to what I think is dodge central. Lack of info on there is already quite telling imo
 
Archer said:
I want to double check something -
Family is trying to convince me to invest in something, essentially a mining operation. Now that is fine(ish), but the returns are essentially constant at 20%, done by adding BTC to your account (at the mining operation, not your actual BTC account) each day. Now from my understanding, unless they are adding mining capacity the whole time, there is no ways they could keep that up since difficulty goes up roughly every 2-3 weeks, meaning returns should go down too. What I suspect is they are adding fake BTC to your mining account and you'll be surprised when trying to withdraw? Right? All just seems too easy (barring the minimum 2 BTC investment they ask for).
Linky linky to what I think is dodge central. Lack of info on there is already quite telling imo
Click to expand...

Dodge central indeed. I'd say your instincts are spot-on.

I don't have the time for a proper reply but read this for a start: https://www.cryptocoinsnews.com/mt-gox-trading-bots-manipulated-bitcoin-price/
 
Status
Not open for further replies.
Back
Top
Sign up to the MyBroadband newsletter
X