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This is off topic but since a lot of people seem to be experts I just wanted to ask. Can someone explain this to me http://000fff.org/uploads/bitcoinprice.png
by ThomPete 9y ago
This is off topic but since a lot of people seem to be experts I just wanted to ask.
Can someone explain this to me
http://000fff.org/uploads/bitcoinprice.png http://000fff.org/uploads/bitcoinprice.png
The flat-lines. I have seen it several times. Is is because of lack of data of trading or lack of trading or what's making the price flatline like that?
- RexetBlell 9y agoIt's definitely not the lack of trading that's causing this. It's funny that you would even think that haha.
- ThomPete 9y agoWhy is it funny? Is there some obvious explanation for this I am missing? Seen it a couple of times now.
- RexetBlell 9y agoIt's funny because the trading volume of Bitcoin is huge - about 250 million dollars worth of Bitcoin is bought and sold per hour around the world, 24/7. My guess is that the reason we see the horizontal lines is because let's say someone places a large sell order (say 1000 Bitcoins) at $11600. It takes a few minutes for the market to absorb it. The price stays flat until the entire order is bought.
- ThomPete 9y agoYes, which is why I was asking. I have had bitcoin since early on so I am aware of increased trading volume. Thanks for the explanation.
- lowdest 9y agoIt's due to large order volume at those prices. If an unusually large limit order or group of limit orders is placed at $11,800, then incoming market orders can chip away at the remaining volume available at that price but not move the externally visible price.
- ThomPete 9y agoThanks