BTC goes up 50% in 4 weeks and...
- Thread starter Pekelo
- Start date
Sure that's why Ebay and PayPal and probably YouTube will join soon.
Man... so much ignorance here on ET...
Compared to real gold I'd say it's doing quite well over the past 5 years
Disclosure I own both gold/silver and crypto. I have enjoyed owning crypto more than gold/silver .
It was obvious to you because your iq is higher than the rest of us .
I`m sure you were laughing when BTC was @1001 and then crying @1200 BUT THEN
LAUGHING AGAIN when it fell below 1000.
We dummies are just holding
Personally I thought the run up would top around 800... But now we learnt that Gox was playing with fake money, its buying bot Willy contributing greatly to the rally's success.
My IQ is the perfect 100, it doesn't take a high IQ to recognize an exponential chart, it takes KNOWING HISTORY. And such rallies usually drop by 50% on the first crash. If you look at the Bitstamp chart their high was 1163 and the first bounce from the first drop came at 547, a bit overshooting the 50% level....
"Willy" was an automated buying program. The source of the funds is disputable and probably fraudulent. Willy, however, purchased a small fraction of the float (less than 5%). We don't know why it was buying. It could have been speculation or to provide coins for a "hot wallet" for the fractional reserve MT Gox. There are other possible reasons. To conclude that it set the stage for the bubble or bumped the price several hundred dollars one would have to assume that buying about 3% of the float in regular intervals over months could achieve those outcomes. In short, it is unlikely.
I have read the reports and don't agree with the conclusion that the bubble was caused by Willy (exclusively).
I have read the reports and don't agree with the conclusion that the bubble was caused by Willy (exclusively).
When did I say exclusively? On the other hand in a stale market a constant buying of a small % can cause a very nice upward pressure. And Gox was the leading broker so prices started to much their level on other brokerages.
And we know for sure that they didn't have the money, so the buying was done by fake IOUs.....
compare the volume of Willy versus the daily volume during the time period cited by the report author... my guess is the buying was customer funds and MT Gox was fractional reserve since 2011 at least.... if MT Gox was totally legit then customers would have purchased the same amount of BTC as Willy during that period plus whatever was kept for expenses, etc.
another idea is that Magical Tux was using the MT Gox exchange to create an artificial market and proprietary arbitrage opportunities in order to recoup bitcoins that were previously lost or to make MT Gox more appealing to conspirators considering buying it. Willy could have been a key tool in that endeavor.
This is the theory I subscribe to... But the reason for Willy aside, again, a constant buying of small float can keep the market raising...