Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
You should read over my posts more.
I have, but unless you have insider info about this it's nothing more than making up a story without facts to back it up.
The reason I ask is that I know a bunch of guys who are bullish ltc/btc. It's not part of a conspiracy to pump the price, it's simply that 4 critical SMAs are about to cross, similar to before last November's bull market. Nothing more.
I do not have insider information apart what has been leaked Publicly if you have been trading since the 24th.
Please understand that the ltc/btc is real and has happened this weekend and escalated on sunday.
Also realize that you are posting in the speculation wall thread. We share our observations here.
Therr is also a post made yesturday night that had BTCe chart price targets up untill sunday. Does that make it real? time will tell. It may become a self fullfillingproficiency.
Quote
http://www.matlabtrading.net/main/2014/08/14/bitfinex-margin-call-cascade-algorithm-explained/
Bitfinex is running an algorithm to handle the margin calls. The algorithm starts selling but limits itself to a 10% drop in prices within 1 minute. If prices drop more than 10% in 1 minute it will stop selling and wait for buy orders to come in. Once there are again a certain amount of buy orders in the orderbook the algorithm starts selling again until all margin calls are met.
Edit: LeMogawai was the first to point this out in this post and it matches my personal observation at the time of the event.
This seems to be an interesting way to deal with cascading margin calls but can also be considered as borderline market manipulation from the exchange side. By spreading out the sell orders over time the downwards momentum is reduced, however traders end up trading against the exchange itself and not the market anymore. The exchange has an informational advantage at that point and is therefore more likely to profit than the traders. Fortunately, this only lasted for about 10 minutes after which control was given back to the market.
Bitfinex is running an algorithm to handle the margin calls. The algorithm starts selling but limits itself to a 10% drop in prices within 1 minute. If prices drop more than 10% in 1 minute it will stop selling and wait for buy orders to come in. Once there are again a certain amount of buy orders in the orderbook the algorithm starts selling again until all margin calls are met.
Edit: LeMogawai was the first to point this out in this post and it matches my personal observation at the time of the event.
This seems to be an interesting way to deal with cascading margin calls but can also be considered as borderline market manipulation from the exchange side. By spreading out the sell orders over time the downwards momentum is reduced, however traders end up trading against the exchange itself and not the market anymore. The exchange has an informational advantage at that point and is therefore more likely to profit than the traders. Fortunately, this only lasted for about 10 minutes after which control was given back to the market.
Edit:
