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Theory That Bitcoin Price Is Being Propped Up

fortune.com

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Re: Theory That Bitcoin Price Is Being Propped Up

#3

Post by jqpabc123 »

logicalmonster wrote: post #2

Let's be real. Nobody knows anything for sure. People who like Bitcoin will deny this. People who hate Bitcoin will use this as confirmation bias. /thread

Nobody knows anything for sure.

We know for sure that "bad behavior" is fairly common in this unregulated "marketplace". If it's easy and possible and profitable, someone is going to do it.

This alone is sufficient to deter a lot of sensible investors.

Re: Theory That Bitcoin Price Is Being Propped Up

#4

Post by logicalmonster »

jqpabc123 wrote: post #3
logicalmonster wrote: post #2

Let's be real. Nobody knows anything for sure. People who like Bitcoin will deny this. People who hate Bitcoin will use this as confirmation bias. /thread

Nobody knows anything for sure. We know for sure that "bad behavior" is fairly common in this unregulated "marketplace". If it's easy and possible and profitable, someone is going to do it. This alone is sufficient to deter a lot of sensible investors.

The so-called regulated marketplace only has a thin veneer of propriety. Naked short selling is rampant, many financial statistics are entirely self-reported with barely a slap on the wrist for intentional fabrications, market makers have privileges to manipulate the price that normal folks don't have access to, etc. And one time the plebs got one over on the financial class (the GME thing) they literally "shut it down".

Re: Theory That Bitcoin Price Is Being Propped Up

#6

Post by mrguyorama »

logicalmonster wrote: post #4
jqpabc123 wrote: post #3

Earlier quoted context omitted.

Nobody knows anything for sure. We know for sure that "bad behavior" is fairly common in this unregulated "marketplace". If it's easy and possible and profitable, someone is going to do it. This alone is sufficient to deter a lot of sensible investors.

The so-called regulated marketplace only has a thin veneer of propriety. Naked short selling is rampant, many financial statistics are entirely self-reported with barely a slap on the wrist for intentional fabrications, market makers have privileges to manipulate the price that normal folks don't have access to, etc. And one time the plebs got one over on the financial class (the GME thing) they literally "shut it do…

>And one time the plebs got one over on the financial class (the GME thing) they literally "shut it down".

That's not what happened. Robinhood (and a couple others) weren't prepared for a stock with no fundamentals to be bought by everyone, so they didn't have the collateral for it that was required.

Re: Theory That Bitcoin Price Is Being Propped Up

#7

Post by new2this »

ploum wrote: post #5

So the central argument is that whales manipulate the price by buying bitcoins once the price is low. Isn’t that the definition of a market? Could you imagine an alternative where this does not happen?

The central allegation is that Tether would print coins for themselves that were not backed by USD and then buy BTC. Thus, artificially propping up BTC in a price range where they could then quickly sell, pocket profits, and stor the money to back the Tether they just printed.

Re: Theory That Bitcoin Price Is Being Propped Up

#10

Post by qeternity »

ploum wrote: post #5

So the central argument is that whales manipulate the price by buying bitcoins once the price is low. Isn’t that the definition of a market? Could you imagine an alternative where this does not happen?

Buying it because it's low, and buying it push to higher, are different things.
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