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The confusion results from the conception that the market (any market) has a single price. It doesn't. When exchanges (stock exchanges, currency exchanges, co
by wyldfire 9y ago
The confusion results from the conception that the market (any market) has a single price. It doesn't. When exchanges (stock exchanges, currency exchanges, commodity exchanges) execute trades, they do so with something called an "order book". You can think of it more like an available histogram of potential trade prices. The transactions tend to settle at the nexus of where buyers meet sellers, but if there's only $1 worth of BTC available at the "1 BTC=$10000" rate, then if you want all of your $10 transaction to execute now you will have to pay more. Alternatively you can leave your order at the "1:10000" rate and hope that someone comes and picks it up.