Topic: What is this spike? (Read 2609 times)

And being triggered by small amounts of btc executions

yes, happened again today, quite annoying really, what use is an exchange if their charts aren't real?

well now this is happening multiple times a day

WHEW, good thing everyone in this community is in their "right mind" 

if it's the same but, let me shed more light:

http://bitcoin.stackexchange.com/questions/1032/what-happened-with-mtgox-on-2011-9-12

kind of entertaining quote from above link:

thanks for the hint, I remember that bug being an issue a long while back now.

Doesn't sound that hard to fix, does it?

Sounds like the trade-matching algorithm sometimes doesn't keep up, or gets out of sync, with bursty ask quote additions/cancellations.

Thank you!  Nothing like newly found sparkling clarity

If you were to place a small buy order at Gox offering $10 for 1 BTC, you would expect to get matched with the cheapest currently unmatched sell order, and end up getting your 1 BTC for $5.14 or so.

Occasionally, due to a persistent bug in Gox's code, it seems that buy orders are being accidentally matched with higher sell orders, not the cheapest ones.  So you see spikes like in OP's chart.

What if bitcoinica has enough backed up btc that they dont need to buy the 18000?
Its ony a loss for them and i thik to run a buissnes like bitcoinica you have enough own capital to get over it without big trouble

It looks like the bots that are responsible for the biggest trades on both the buy and sell sides are running out of coin but have plenty of cash. They might have to re-up before the weekend. I would venture to guess this won't be another "crash" weekend because of it.

On a scarier note, it is entirely possible this bot I'm speaking of is some Bitcoinica arbitrage bot, which means if this is the case, it's got a shortage on BTC. If they are planning on paying back everyone that is owed, they are going to need BTC and fast (which almost certainly means they will be buying hard). If they don't buy soon I don't know how else they are going to compensate their customers.

The problem being that the ones that leveraged against a BTC increase are going to be owed even more coin if the price does go up, so Bitcoinica is stuck between a rock and a hard place right now. Do they drive the price up and hope it crashes before they pay back BTC? Do they just buy as people reclaim it and hope the price increases also don't ruin them?

There's basically this huge problem where they need BTC but can't risk buying it. And my biggest fear is they are sitting around praying for a price drop that isn't going to happen, and thus eventually making the problem even worse, and guaranteeing their insolvency.

I could be wrong though, let's hope it's not Bitcoinica's arbitrage bot that is oversold on BTC right now.

thanks for shedding lights on this

the cancelled trades can be seen here:

https://mtgox.com/api/1/BTCUSD/public/cancelledtrades

well, the ids at least

This is the same thing that was happening last year when MtGox re-launched after the breach.

I can't emphasize enough how much FIXING THIS CRAP would really help to get a rally going.

Also, ensuring that mtgoxlive is stable and fast under heavy load. Even in January it was crapping out and only like 500 people were able to connect during peak usage.


That said, after that BATS IPO lolfest, and even that Nasdaq had quote issues the Friday of the Facebook IPO, I can appreciate that it is difficult to keep an order-book fast and stable under maximum load.

looks like a bunch of robots lost money when this crashes.  All trades should be rolled back to the first spike.  I bought in and dont like this. and will sell off all 1,000,000  bitcoins if not corrected.

Maybe Goxs robot is executed trades early? and the spikes is the future.

RALLLLLLLYYYYYY!!!!!!

Hello,

We are working on this.  Thank you for your patience while we work to resolve this issue.

I'm thinking not yet; however, lots of these spikes, the likes of which would scare the shit out of MegaMan:

live data is messed up across the board for mtgox
is there rally or not?

I think there are more glitches now