Are Institutional investors changing the Bitcoin price behaviour? - page 3.

jackg

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https://bit.ly/387FXHi lightning theory

Quote from: royalfestus on January 26, 2022, 05:39:04 PM

what are the sources of information for purchase and sale of coin by institutions? I feel sometimes this source of information are influenced to deceive traders of accumulation, we saw a lot of them in recent day of the dump and while finding the bottom of the market. Most of the purchases are on the counter not exchanges, so how do people know this accumulation?

I don't think otc data would help that much as anything that happens on the otc market will affect the normal exchanges too.

It's possible to buy data on otc markets though and may companies might factor it into their main currency data pulls (for example, coinbase pro, coinbase and coinbase prime might be aggregated together in one data pull).

royalfestus

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Quote from: jackg on January 26, 2022, 10:57:39 AM

Quote from: Kakmakr on January 26, 2022, 09:38:56 AM

Now, we know the Bitcoin price has not been phased much, when Wall Street and global markets have shown movement. These markets are used by large investors that are very trigger happy with the slightest volatility.

I don't think anythings changed that much price strength wise since larger investors came into the bitcoin space.

I think whenever institutions start buying and selling we might see more dramatic volume increases but institutions like to compete with each other so it's likely these will be done over the counter or both executed at the same time so it might just effect the volume.

what are the sources of information for purchase and sale of coin by institutions? I feel sometimes this source of information are influenced to deceive traders of accumulation, we saw a lot of them in recent day of the dump and while finding the bottom of the market. Most of the purchases are on the counter not exchanges, so how do people know this accumulation?

TheNineClub

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More irrational than what we have right now? I would think that it would be the opposite, that it would stabilize the fluctuation a bit. Primarily because investors are not the only factor that affects the price and the ups and downs. It's the sum of those factors that make up all of the turbulation that we have, but I guess that the natural evolution is in stabilization, either that or dying out.

hatshepsut93

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Quote from: Kakmakr on January 26, 2022, 09:38:56 AM

Do you think as the injection of institutional money increase, that we will see more irrational price movement that are synchronized with global market movements?

This has been the case for a while now. When COVID-19 begun, all market crashed hard, and Bitcoin saw the most devastating flash crash in its recent history. Bitcoin also followed the mainstream markets in 2021 on multiple occasions, and just days ago it did the same when stock markets started declining. However, Bitcoin is not just following traditional markets 1:1 all the time. Usually Bitcoin recovers independently from them, and it still has a ton of independent price action.

I would say that Bitcoin is not a short-term hedge against traditional markets even if it itself is not considered a traditional asset, but in the longer run it's doing its own thing, which is increasing in value.

fiulpro

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I do think that the investors are actually happy with small volatility since at the end of the day the volatility provides them with an option to invest more, I do think that the reason bitcoin's price is kind of regulated it might seem is majorly due to big exchanges and wallets as well. For example all the trading platforms generally close the withdrawal and selling the exact time the price goes profitable, I have experienced this a lot of times. There are many big companies which are also regulating Bitcoins indirectly. Investors are always coming and going but what stays same is the dominance of Bitcoins over any other Altcoins which is still pretty much there.

jackg

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https://bit.ly/387FXHi lightning theory

Quote from: Kakmakr on January 26, 2022, 09:38:56 AM

Now, we know the Bitcoin price has not been phased much, when Wall Street and global markets have shown movement. These markets are used by large investors that are very trigger happy with the slightest volatility.

I don't think anythings changed that much price strength wise since larger investors came into the bitcoin space.

I think whenever institutions start buying and selling we might see more dramatic volume increases but institutions like to compete with each other so it's likely these will be done over the counter or both executed at the same time so it might just effect the volume.

Kakmakr

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Now, we know the Bitcoin price has not been phased much, when Wall Street and global markets have shown movement. These markets are used by large investors that are very trigger happy with the slightest volatility.

We also now know that these large investors are also dipping their toes in Crypto currencies (Bitcoin) and their trigger happy behavior are also coming with them.

Do you think as the injection of institutional money increase, that we will see more irrational price movement that are synchronized with global market movements?

Will Bitcoin still be a Safe haven when institutional money takes over the majority of the ownership of bitcoins and these people start to manipulate it in the same way that they are manipulating other markets?

Let's discuss.

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