What is going on? Trading volume is so low! - page 4.

Questing

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Quote from: BitChick on May 09, 2013, 12:45:47 PM

Quote from: Rampion on May 09, 2013, 12:01:14 PM

Rush won't start anytime soon. And this is good. Bitcoin is not a get rich quick scheme.

Hopefully it is a get rich "at some point" scheme. I know many people are into BTC for ideological reasons. I am shamelessly in it primarily for the fact that I can make some money (or have money that will hold it's value better). Of course, there is something heartwarming about bypassing the banks too.

I use it for both reasons. I love the ideological reasons, and how btc might charge the world for better. But I'll shamelessly chase earnings, and tell the people I told about it "I told you so" you should have listened.
It seems to me, the system has been stacked against us. And now the systems currencies are slipping through their fingers like water, and there might be very little they can do about it. The early adopters "trail blazers" are going to see a considerable upside. Perhaps btc is a get rich quick scheme for some.
Next time a bubble happens, I have the buy and sell indicators needed to make good. I'm not missing the next oppertunity

Questing

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Quote from: BitChick on May 09, 2013, 11:47:25 AM

Quote from: bozak on May 09, 2013, 08:21:29 AM

Volume tends to build on itself. Given the Gox commision structure (flat % regardless of order size). There is little incentive to trade unless the market is volitile. Overall, stability is good, low volume should lead to stability in exchange rate, which should lead to more businesses accepting BTC, which should lead to slowly increasing exchange rate. Be happy that we have low volume on the exchanges.

This is true. However, it has been very boring lately! Perhaps I like it a little more exciting? It was a huge adrenalin rush when the price was going up like crazy! Grin

I think if there is a day where it starts to jump really fast people will panic and start buying again. I think there are many people just waiting it out, with so low buy orders, to see if it goes down again but will buy when a new rush begins. Just my thoughts.

Yes, I love the excitement of wildly fluctuating prices. But I also understand the need for a stable currency if businesses are to adopt btc in the long run. I suggest we need the excitement, the roller coaster ride for a while longer, as this is what gets media attention. Which brings in the new users. Hopefully its the natural progression for btc to stabilize once there is a large number of users.
I've only been day trading a couple days, and as soon as I feel I'm getting a handle on it, the price flat lines. lol

Peter Lambert

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It's all fun and games until somebody loses an eye

Quote from: ManBearPig on May 09, 2013, 05:48:43 AM

Yes it certainly has dropped off but the fact the price is settling just about in 3 figures is broadly positive as I see it.

A slow fall from here on in would not spell disaster but would certainly expedite the next wave of speculation.

Take a look at the big picture, here on the all-time weekly chart (close prices, log scale).

A few things to note about 2013 with 2011: the run-up was less steep, the sell-off was less intense, and we've settled into a mid-term price quicker at a point relatively higher.

Nice graph.

Also remember that the bitcoin inflation is now less than half what it was in 2011, so all things being equal, one would expect the downtrend to be less steep after the run-up.

Peter Lambert

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It's all fun and games until somebody loses an eye

Quote from: Rampion on May 09, 2013, 05:25:47 AM

Low volume is because we are reaching a tipping point. Both buyers and sellers are on hold. There are two options:

a) consolidation phase, plus steady and sustainable growth (no more bubbling for now)
b) bear market, slow and deep decline (as per 2011)

Anyhow, depth on both sides of the order book is big and healthy. ATM sellers are placing asks and not dumping, buyers are placing bids and not making market orders.

We will see where we are heading at very soon. I say give 70% chances to consolidation phase; 30% chances for bear market.

You forgot the third option: once price stabilizes for a bit and people see it is not going down anymore, they will start buying hard again and the price will bubble up over 500.

Peter Lambert

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It's all fun and games until somebody loses an eye

Quote from: ask on May 09, 2013, 05:00:32 AM

No one wants to buy so high. Price will drop. Unfortunatelly I am a bull at higher levels... Sad

No one wants to sell so low. Price will rise.

BitChick

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Quote from: Rampion on May 09, 2013, 12:01:14 PM

Rush won't start anytime soon. And this is good. Bitcoin is not a get rich quick scheme.

Hopefully it is a get rich "at some point" scheme. I know many people are into BTC for ideological reasons. I am shamelessly in it primarily for the fact that I can make some money (or have money that will hold it's value better). Of course, there is something heartwarming about bypassing the banks too.

Rampion

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Quote from: BitChick on May 09, 2013, 11:47:25 AM

Quote from: bozak on May 09, 2013, 08:21:29 AM

Volume tends to build on itself. Given the Gox commision structure (flat % regardless of order size). There is little incentive to trade unless the market is volitile. Overall, stability is good, low volume should lead to stability in exchange rate, which should lead to more businesses accepting BTC, which should lead to slowly increasing exchange rate. Be happy that we have low volume on the exchanges.

This is true. However, it has been very boring lately! Perhaps I like it a little more exciting? It was a huge adrenalin rush when the price was going up like crazy! Grin

I think if there is a day where it starts to jump really fast people will panic and start buying again. I think there are many people just waiting it out, with so low buy orders, to see if it goes down again but will buy when a new rush begins. Just my thoughts.

Rush won't start anytime soon. And this is good. Bitcoin is not a get rich quick scheme.

BitChick

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Activity: 1148

Merit: 1001

Quote from: bozak on May 09, 2013, 08:21:29 AM

Volume tends to build on itself. Given the Gox commision structure (flat % regardless of order size). There is little incentive to trade unless the market is volitile. Overall, stability is good, low volume should lead to stability in exchange rate, which should lead to more businesses accepting BTC, which should lead to slowly increasing exchange rate. Be happy that we have low volume on the exchanges.

This is true. However, it has been very boring lately! Perhaps I like it a little more exciting? It was a huge adrenalin rush when the price was going up like crazy! Grin

I think if there is a day where it starts to jump really fast people will panic and start buying again. I think there are many people just waiting it out, with so low buy orders, to see if it goes down again but will buy when a new rush begins. Just my thoughts.

bozak

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Volume tends to build on itself. Given the Gox commision structure (flat % regardless of order size). There is little incentive to trade unless the market is volitile. Overall, stability is good, low volume should lead to stability in exchange rate, which should lead to more businesses accepting BTC, which should lead to slowly increasing exchange rate. Be happy that we have low volume on the exchanges.

Questing

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This is great. For anybody how hasent seen the Billy Joel re-mix
http://www.youtube.com/watch?v=NG1qooBzE2w

ManBearPig

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"Don't go in the trollbox, trollbox, trollbox"

Quote from: Questing on May 09, 2013, 06:53:44 AM

Quote from: ManBearPig on May 09, 2013, 05:48:43 AM

Yes it certainly has dropped off but the fact the price is settling just about in 3 figures is broadly positive as I see it.

A slow fall from here on in would not spell disaster but would certainly expedite the next wave of speculation.

Take a look at the big picture, here on the all-time weekly chart (close prices, log scale).

(snip)

A few things to note about 2013 with 2011: the run-up was less steep, the sell-off was less intense, and we've settled into a mid-term price quicker at a point relatively higher.

Thank you for the chart, and for sharing your opinion. Personally, I think your spot on the money. I cant help but be excited by the prospects of btc. Might just keep growing and change the world. I think btc have become my hoby

You're welcome, it's certainly stolen a lot of my time but it's been profitable and fun! Congrats on owning your first share of the pie

Questing

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Quote from: ?? on ??

Thats pretty normal, had similiar low'ish volume last week or so, but there was still tons of action at some point, even with 50-60k volume.

Thank you for weighing in your opinion. You make a good point

Questing

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Quote from: CIYAM on May 09, 2013, 06:07:14 AM

Quote from: Rampion on May 09, 2013, 06:01:16 AM

Is you are more interested in daytrading, only advice is to plan your strategy in advance and stick to it. Don't panic, don't be greedy. Respect what you have established as entry and exit points. Emotions are your worst enemy.

This is good advice - although I would also recommend being careful about just how much cash/BTC you leave on any exchange (too many have crashed and burned).

Yes, good advice everybody needs to know. Sounds like banks are starting to work against btc. And it spells trouble for some btc exchanges. USA is turning into a no go zone

Questing

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Quote from: Prattler on May 09, 2013, 06:54:53 AM

I think people got carried away with trading.

Past month we've been doing 100 kBTC / day volumes. That's ~1% total bitcoin supply traded each day. This is not low volume, it's crazy high volume!

We should come back to 20 kBTC/day volumes and it would be ok.

You make a good point.
As a usefull currency, it would be handy if the speculation would fall off. But it looks like day trading is unavoidable, and going to be part of its evolution. My guess is it will smooth out when more people climb aboard the bitcoin train. When btc's equals the GDP of a small country, the ride might get a little smoother

Questing

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Quote from: Rampion on May 09, 2013, 06:01:16 AM

Quote from: Questing on May 09, 2013, 05:43:05 AM

Quote from: Rampion on May 09, 2013, 05:25:47 AM

Low volume is because we are reaching a tipping point. Both buyers and sellers are on hold. There are two options:

a) consolidation phase, plus steady and sustainable growth (no more bubbling for now)
b) bear market, slow and deep decline (as per 2011)

Anyhow, depth on both sides of the order book is big and healthy. ATM sellers are placing asks and not dumping, buyers are placing bids and not making market orders.

We will see where we are heading at very soon. I say give 70% chances to consolidation phase; 30% chances for bear market.

This guy knows what he's talking about! I'm new to day trading, but I know enough to agree with you. Any tips for beginners? Letting the rest of us know about it can only make Bitcoin stronger?

I can give you a personal advice which has nothing to do with daytrading or technical analysis.

In this game you get the big prize if you have strong hands - hold on your BTC. If you are sure that you can increase both your fiat profits and your BTC stash daytrading, go ahead and do it. But most of people is delusional, they see their fiat growing and they think they are excellent daytraders, but the truth is that they are slowly decreasing their BTC stash. If BTC develops at its full potential, they just missed the real thing.

Then, bare in mind that BTC is a high risk asset, thus invest only what you can afford to lose. Otherwise you will make mistakes driven by emotions.

My personal strategy is the following: build you BTC stash with the spare cash you have. Have some fiat hanging around at the exchange so you can buy more coins in flash crahses, dips and dumps. And go for the long run.

Is you are more interested in daytrading, only advice is to plan your strategy in advance and stick to it. Don't panic, don't be greedy. Respect what you have established as entry and exit points. Emotions are your worst enemy.

Yes I agree, and thanks again.
I like the idea of day trading and increasing the size of my btc stash. At the moment, my bet is on btc for the longer term.
I run my parents business, and am fed up with banks and gov bureaucracy. They are draining the life blood out of my parents business, and my parents are to unwell to fight against them. So its been left up to me, and I'm fed up with their indifference. And banks and gov are not even aware of the trouble they cause.
btc in my mind, is a big step towards making the world a more honest place. Take the fate of my parents, and myself out of their hands please.

What do you think of the MACD graph? Shore bet to increase my btc holdings? the graphs look consistent?

Questing

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Quote from: raze on May 09, 2013, 06:44:21 AM

Bought my first Bitcoin today, only 0.2BTC but it's still a contribution

Welcome to the club. Its great to have you aboard

Prattler

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I think people got carried away with trading.

Past month we've been doing 100 kBTC / day volumes. That's ~1% total bitcoin supply traded each day. This is not low volume, it's crazy high volume!

We should come back to 20 kBTC/day volumes and it would be ok.

Questing

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Activity: 70

Merit: 10

Quote from: ManBearPig on May 09, 2013, 05:48:43 AM

Yes it certainly has dropped off but the fact the price is settling just about in 3 figures is broadly positive as I see it.

A slow fall from here on in would not spell disaster but would certainly expedite the next wave of speculation.

Take a look at the big picture, here on the all-time weekly chart (close prices, log scale).

A few things to note about 2013 with 2011: the run-up was less steep, the sell-off was less intense, and we've settled into a mid-term price quicker at a point relatively higher.

Thank you for the chart, and for sharing your opinion. Personally, I think your spot on the money. I cant help but be excited by the prospects of btc. Might just keep growing and change the world. I think btc have become my hoby

raze

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Bought my first Bitcoin today, only 0.2BTC but it's still a contribution

CIYAM

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Ian Knowles - CIYAM Lead Developer

Quote from: Rampion on May 09, 2013, 06:01:16 AM

Is you are more interested in daytrading, only advice is to plan your strategy in advance and stick to it. Don't panic, don't be greedy. Respect what you have established as entry and exit points. Emotions are your worst enemy.

This is good advice - although I would also recommend being careful about just how much cash/BTC you leave on any exchange (too many have crashed and burned).

Topic: What is going on? Trading volume is so low! - page 4. (Read 7040 times)