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Small and volatile market driven by bots can have unexpected and illogical behavior... until the correction when those who bough at half the price want to cash

Small and volatile market driven by bots can have unexpected and illogical behavior... until the correction when those who bough at half the price want to cash in.

pcdoodle 6y ago
And buy what? USD?
- Rebelgecko 6y ago
  Tether?
- NoOneNew 6y ago
  Bitcoin->USD/any other real currency->car/beer/milk/microwave/house/coke That's what "cashing out/in" means. Converting your investment into necessity, want or vice. No one desires investment vehicles. They desire using the investment vehicle to purchase a future item they can use.
  - coffeevradar 6y ago
    With the important distinction that most investment vehicles represent tangible ownership (of equity in a company, of a debt obligation, of real estate, etc.) Bitcoin exists primarily as something people buy in order to hopefully sell to someone else, all with the underlying value intangible and arguably nonexistent beyond scarcity.
josu 6y ago
450 billion market cap, larger than 99.99% of stocks. Also, it is much more liquid. I have no idea what "driven by bots" means.
- garmaine 6y ago
  I don’t think he realizes every financial market is “driven by bots” (HFT) these days.
  - nikolay 6y ago
    Except that the Bitcoin bots are ways less sophisticated.
    - garmaine 6y ago
      Are you sure of that? Many of them are done by the same people.
      - nikolay 6y ago
        Yes, I'm pretty sure.
    - josu 6y ago
      Hey, I re-read your initial message and I agree. My reply makes no sense. These short term movements are definitely influenced by bots, fragmented liquidity and issues trading venues.
  - deleted 6y ago
    [deleted]
alwillis 6y ago
As is often the case, bitcoin's volatility has been overstated: “In our long-term study of bitcoin, we had compared bitcoin correlations to traditional asset classes and now see another interesting recent trend with its volatility,” according to Gurbacs. “In our current volatility research, we compared the 90 day and year to date volatility—as measured by their daily standard deviation as of November 13, 2020—of bitcoin against the constituents of the S&P 500 Index. We found that bitcoin has exhibited lower volatility than 112 stocks of the S&P 500 in a 90 day period and 145 stocks YTD.” https://www.etftrends.com/alternatives-channel/bitcoins-volatility-may-surprise-you/ https://www.etftrends.com/alternatives-channel/bitcoins-vola...
greggturkington 6y ago
Is this opinion unique to this story or just talking points from 2013?
- nikolay 6y ago
  Well, for sure, since 2013 it's proven to us that it's not currency as nobody uses it for that purposes - it's a speculation tool, something like a fantasy commodity, which wastes tons of energy to exist.
  - somezero 6y ago
    I’m just curious whether you know how blockstack in the “about” section of your profile relates to Bitcoin.... That’s just one of the examples illustrative of some sort of Bitcoin’s value outside being a currency - which coincidentally, hasn’t been the goal of core devs for quite a while.
    - nikolay 6y ago
      I do try different things. And that's why I say with authority that Bitcoin is useless. Unlike most fanbois, I've been mining Bitcoins before it was cool.
      - deleted 6y ago
        [deleted]

Small and volatile market driven by bots can have unexpected and illogical behavior... until the correction when those who bough at half the price want to cash in.

pcdoodle 6y ago

And buy what? USD?

Rebelgecko 6y ago
Tether?
NoOneNew 6y ago
Bitcoin->USD/any other real currency->car/beer/milk/microwave/house/coke That's what "cashing out/in" means. Converting your investment into necessity, want or vice. No one desires investment vehicles. They desire using the investment vehicle to purchase a future item they can use.
- coffeevradar 6y ago
  With the important distinction that most investment vehicles represent tangible ownership (of equity in a company, of a debt obligation, of real estate, etc.) Bitcoin exists primarily as something people buy in order to hopefully sell to someone else, all with the underlying value intangible and arguably nonexistent beyond scarcity.

josu 6y ago

450 billion market cap, larger than 99.99% of stocks. Also, it is much more liquid. I have no idea what "driven by bots" means.

garmaine 6y ago
I don’t think he realizes every financial market is “driven by bots” (HFT) these days.
- nikolay 6y ago
  Except that the Bitcoin bots are ways less sophisticated.
  - garmaine 6y ago
    Are you sure of that? Many of them are done by the same people.
    - nikolay 6y ago
      Yes, I'm pretty sure.
  - josu 6y ago
    Hey, I re-read your initial message and I agree. My reply makes no sense. These short term movements are definitely influenced by bots, fragmented liquidity and issues trading venues.
- deleted 6y ago
  [deleted]

alwillis 6y ago

As is often the case, bitcoin's volatility has been overstated: “In our long-term study of bitcoin, we had compared bitcoin correlations to traditional asset classes and now see another interesting recent trend with its volatility,” according to Gurbacs. “In our current volatility research, we compared the 90 day and year to date volatility—as measured by their daily standard deviation as of November 13, 2020—of bitcoin against the constituents of the S&P 500 Index. We found that bitcoin has exhibited lower volatility than 112 stocks of the S&P 500 in a 90 day period and 145 stocks YTD.” https://www.etftrends.com/alternatives-channel/bitcoins-volatility-may-surprise-you/ https://www.etftrends.com/alternatives-channel/bitcoins-vola...

greggturkington 6y ago

Is this opinion unique to this story or just talking points from 2013?

nikolay 6y ago
Well, for sure, since 2013 it's proven to us that it's not currency as nobody uses it for that purposes - it's a speculation tool, something like a fantasy commodity, which wastes tons of energy to exist.
- somezero 6y ago
  I’m just curious whether you know how blockstack in the “about” section of your profile relates to Bitcoin.... That’s just one of the examples illustrative of some sort of Bitcoin’s value outside being a currency - which coincidentally, hasn’t been the goal of core devs for quite a while.
  - nikolay 6y ago
    I do try different things. And that's why I say with authority that Bitcoin is useless. Unlike most fanbois, I've been mining Bitcoins before it was cool.
    - deleted 6y ago
      [deleted]