Post
Topic
Board Securities
Re: S.DICE - SatoshiDICE 100% Dividend-Paying Asset on MPEx
by
zkay
on 03/03/2013, 03:40:43 UTC
Any ideas why the share price is diving right before the dividend release? Last trade was barely above the last tranche evorhees released.

It's absolutely tiny volume.  One person selling 0.01% of the outstanding shares needs no reason other than that one person needed or wanted to sell their shares.  There's usually very few buy orders up (other than at low prices to catch anyone who mistypes the number of zeros) so it only take someone selling a few 10ks of shares to make it look like the price is crashing.

If there was some significant reason then you'd be seeing Ask walls up with hundreds of thousands of shares in them.

There's one person trying to sell 30k shares - looks like he just automatically undercut a 1k order at .006.  The other small sell orders will be people who just got sold into and are looking to flip the shares quickly to pick some more up from anyone who is panicking.

When there's only one sell order of any size at a low price there's two possibilities:

1.  One person somehow knows something major about S.DICE that noone else knows.
2.  One person needs some cash quickly.

One of those two options is a regular occurrence.  There IS actually at least one more option - but you'll have to work that one out for yourself.

Awesome! Thank you for this. As a person new to btc and investing I greatly appreciate clear explanations. Smiley