There's always rationale when it comes to making money (whether through sharp practice or professional/ethical practice). They want to inflate the volume figures. To do this, they were pinging trades back and forth. Just volume - that has nothing to do with boosting the price of BTC.I own an exchange that is ranked 20th in terms of business.
So I put through a whole pile of matched deals so that I rise to no. 10 in the league.
Why would that inflate the price of Bitcoin though?
I do understand that I am trying to apply logic to a completely irrational business but is there any reasonable explanation for it?
Thanks Leo
But let me get this straight.
I own an exchange that is ranked 20th in terms of business.
So I put through a whole pile of matched deals so that I rise to no. 10 in the league.
Why would that inflate the price of Bitcoin though?
I do understand that I am trying to apply logic to a completely irrational business but is there any reasonable explanation for it?
Brendan
I own an exchange that is ranked 20th in terms of business.
So I put through a whole pile of matched deals so that I rise to no. 10 in the league.
Why would that inflate the price of Bitcoin though?
Do you consider the other regular markets, rational?
Good question.
Other markets are fundamentally rational with long periods of irrational exuberance and irrational pessimism. So we know that CRH shares are worth something. They generate a steady dividend income. Let's say the true worth is €x. The market may well price them at 2x or 0.5x. If they issue a price warning today, the price will fall. If they issue bitter than expected results, the price will rise.
Whether I can read a chart or not doesn't matter. Bitcoin is worth nothing. The chart shows its price, not its value.
CRH is worth something because of the expected flow of dividends. You might expect more than I , so you would put a higher price on it than I would. That is perfectly rational.
Saying Bitcoin is worth $20,000 because you expect some Greater Fool to pay you $40,000 in a year's time is very dangerous gambling. I don't see gambling as rational. It's emotional.
Brendan
I take onboard that you have no interest if a respectful dialogue
So what's golds price and what's its value right now? How is that determined?
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