But when was the Willy Bot active? I understand how it could guide all markets since things all started on GOX and that is where the liquidity was.
But as other markets developed good liquidity, why would they still follow GOX so closely? At the end they stopped following GOX, right as the Shizz hit the fan.
My point is, why not ANY of that before? (Outside of a small price disparity.) This is more a practical question regarding when other exchanges surfaced with their liquidity perhaps.
Perhaps GOX just had a liquidity monopoly until, it obviously no longer had one.
It doesn't really matter if it was guiding the markets or just part of them. It was constant buying pressure, with no limitation of available funds (since it didn't actually have any funds anyway) or lack of willingness to pay higher prices in an otherwise rising market. That's explosive.
Of course that's the theory of Willy. I don't know that it has been proven.