Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
So Paypal accepts Bitcoin, we go up a little bit,
I am still not convined that PayPal's announcement was the cause of this rally.
The news should have had a positive effect, sure; but the rally started suddenly, rose steadily for less than one hour, then stopped suddenly, oscillated a bit and then stagnated at the current level. Those news must have taken a lot more than one hour to reach all traders and be assimilated by them; therefore I would have expected a slower rise over several hours.
Ditto for the theory that the rally was caused by people taking profit on the AliBaba IPO and investing it in bitcoin. That "Back to BTC" migration (if real) should have spread out over several days.
Coin buying by GABI (or some other single rich investor) would be a better fit to the chart, IMHO.
So a random event that just happened to coincide with the PayPal news? That makes perfect sense...
A BTC trader sees a small spike and hits the F5 key on the Coindesk tab. Stuff like this gets around in 30 minutes among big traders. I personally called 3 guys to inform them of the spike. It was all over news sites and social media well within 1 hour. And let's not forget the BTC-E trollbox. There was no possible way for anyone actively trading there to miss the news.
Just remember the LTC on MtGox Facebook comment. LTC went +50% in one hour.
The traders are assimilating the news today, yesterday was just a reflex reaction
