Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
It is useful because there is obviously a correlation between coins on and off the books, especially in similar situations, and the fact is there are no new coins for sale showing up whereas it has been typical of them to do so in a dramatic manner.
What similar/typical situations are we talking about?This seems very anecdotal. I'm not sure I see the evidence.
Doesn't ask depth dropping make sense when asks are pulled to market sell? Does it make sense to keep your limit orders at $1500 on the book if you are willing/planning to dump them lower?
About the typical situations: during the april crash ask sum more than doubled (50k to ~120k). During the november crashcorrection ask sum trebled (10k to 30k, you can't see it accurately so you will have to believe me).
Now, however, ask sum is steady (see chart right above shown on blockchained.com), and decreased suddenly during the hardest fall. While the panics previously mentioned involved coins coming out of nowhere into market sells, today's sells did not cause more coins to appear, unlike in previous crashes.
This is what oda.krell said about feeling bullish for the bid/ask ratio, but in other words.