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Topic: What power does Traders have on the Bitcoin price ? (Read 2346 times)

member
Activity: 71
Merit: 10
I think that even small traders can manipulate the market cap. Because They can gather with some other small groups. And when someone from small trader triggers the market they join in.
hero member
Activity: 686
Merit: 500
Alt coins, and Bitcoin, deemed by Florida courts as "meaningful value tokens", behave differently in the currencies markets as other world currency.  Normally, if the US dollar rises in the markets, that means at least one other currencies has fallen to some degree, Bitcoin can gain value and all FIAT currencies actually benefit from the additional movement power that increased value has brought to the world.
The market of bitcoin solely depends on the traders that is the buyer and seller and is not dependent on fiat currencies. Therefore normal stock market or inflation do not affect the value of the bitcoin neither do the fall or rise of currencies nor inflation which makes it a secure investment.
sr. member
Activity: 434
Merit: 255
Traders cannot form the price of bitcoin. It can only generate demand. Traders just trying to make money of the situation. I think that in pricing a lot more influence than news traders.
legendary
Activity: 2646
Merit: 1106
DGbet.fun - Crypto Sportsbook
They really have the power to control Bitcoin, even traders that are involved in other assets can influence such price. Much more for a currency that is decentralized the whales which are the biggest profit takers during a price action will benefit it all. Traders can actually influence the price in both ways from up and down, they can pressure the market in buying higher prices and they can make sellers sell Bitcoin at lower prices.
As an user stated in the past this has been taking place that the traders with higher bitcoin holding moves the market. Now such scenario is no more effective. These days the traders have certain impact on the price moves. Most of the time exchanges were the one who has got majority control these days. Importantly this too came to light when the Chinese exchnages made fake volumes to manipulate the value.
legendary
Activity: 3248
Merit: 1070
They really have the power to control Bitcoin, even traders that are involved in other assets can influence such price. Much more for a currency that is decentralized the whales which are the biggest profit takers during a price action will benefit it all. Traders can actually influence the price in both ways from up and down, they can pressure the market in buying higher prices and they can make sellers sell Bitcoin at lower prices.

traders alone don't have the power to contorl this current market, maybe this was true in the past, when bitcoin was tiny, now it's different

on the other hand a group of whales can stil control a single exchange, not the whole market, but the influence of a single exchange being controlled can have consequence on other exchanges
hero member
Activity: 1680
Merit: 655
They really have the power to control Bitcoin, even traders that are involved in other assets can influence such price. Much more for a currency that is decentralized the whales which are the biggest profit takers during a price action will benefit it all. Traders can actually influence the price in both ways from up and down, they can pressure the market in buying higher prices and they can make sellers sell Bitcoin at lower prices.
hero member
Activity: 1680
Merit: 535
Bitcoin- in bullish time
Alt coins, and Bitcoin, deemed by Florida courts as "meaningful value tokens", behave differently in the currencies markets as other world currency.  Normally, if the US dollar rises in the markets, that means at least one other currencies has fallen to some degree, Bitcoin can gain value and all FIAT currencies actually benefit from the additional movement power that increased value has brought to the world.
Bitcoin is steadily getting importance in the market. Because many people are heavily involved in trading and investment and many more are following the example, it is entirely possible that bitcoin will leave the fiat currencies behind becoming the most used currency and one of the powerful currencies in the world.
It is true that bitcoin can be the next most used currency in the country because of the power of bitcoin in terms of transactions and also investment, bitcoin is slowly getting more popularity that before and it is the start to make people realize that there is a good currency that will void the government from controlling it and that is why bitcoin is keep improving to be the proof for the future currency.
legendary
Activity: 3052
Merit: 1188
Alt coins, and Bitcoin, deemed by Florida courts as "meaningful value tokens", behave differently in the currencies markets as other world currency.  Normally, if the US dollar rises in the markets, that means at least one other currencies has fallen to some degree, Bitcoin can gain value and all FIAT currencies actually benefit from the additional movement power that increased value has brought to the world.
Bitcoin is steadily getting importance in the market. Because many people are heavily involved in trading and investment and many more are following the example, it is entirely possible that bitcoin will leave the fiat currencies behind becoming the most used currency and one of the powerful currencies in the world.
hero member
Activity: 532
Merit: 501
Hi here !

So, the captitalization of BTC reached 40B $ , this is nice but not huge at all compared to FIAT currencies.

My question is : with such a "low" amount of money, does the traders have real power over the Bitcoin price ? I always heared about the natural inflation, simply more demand etc... But don't you think that if a lot of early investors with huge amount of BTC could gather and have control over its price ? Or they are simply slave of the system like every one of us ?

I'm waiting for your toughts  Grin
There are really two kinds of people who control the price of Bitcoin. The traders and the buyers. The traders want to sell for a high price so that they can earn the most money. This doesn't make them the controllers of the price. However, they do become the controllers when buyers come into the equation. Some buyers are so desperate to get Bitcoin that they are wiling to pay an extremely high premium for something they could get for a much lower price. This just continues to make the price go up and up as more people are interested in buying Bitcoin.

With the demand of Bitcoin going up, people are also becoming smarter. They want Bitcoin but aren't dumb enough to buy it for such a high price. This sort of stabilises the price and sometimes even lowers the price because when people see other people selling their Bitcoin, they get scared and also want to sell. But they sell for an even lower price so they can get rid of their coins even faster than everyone else.
hero member
Activity: 2506
Merit: 645
Eloncoin.org - Mars, here we come!
Alt coins, and Bitcoin, deemed by Florida courts as "meaningful value tokens", behave differently in the currencies markets as other world currency.  Normally, if the US dollar rises in the markets, that means at least one other currencies has fallen to some degree, Bitcoin can gain value and all FIAT currencies actually benefit from the additional movement power that increased value has brought to the world.
sr. member
Activity: 1330
Merit: 291
One cannot completely take away the influence of buyers and sellers  (i e. Traders) from not affecting the market value of Bitcoin. This is because the forces of demand  ( buyers) and supply  (seller's) always has a positive or negative impact on the market value of Bitcoin. In summary, traders has both negative and positive impact on bitcoin price.
hero member
Activity: 1092
Merit: 501
Traders have a good place in influencing the ups and downs of a certain cryptocurrency. Traders are bringing in the demand as well as the supply in the whole trading system. Although I would say that it is the general demand and supply of the coin that makes the great impact for its price.

Traders can be liken to agents bringing in the juice or the fuel needed for cryptocurrency to get into the roller coaster ride experience. I am just a new trader in Bittrex but am starting to see the whole picture.
Basically this, traders bring liquidity to a market that is full of people not doing anything with their coins, just think of satoshi approximately he has 1 million coins that is about 6.5% of the whole supply and those coins are not moving at all and we have no reason to think those coins are ever going to move at all, traders help this situation by being willing to buy and sell bitcoins.
hero member
Activity: 1330
Merit: 569
Hi here !

So, the captitalization of BTC reached 40B $ , this is nice but not huge at all compared to FIAT currencies.

My question is : with such a "low" amount of money, does the traders have real power over the Bitcoin price ? I always heared about the natural inflation, simply more demand etc... But don't you think that if a lot of early investors with huge amount of BTC could gather and have control over its price ? Or they are simply slave of the system like every one of us ?

I'm waiting for your toughts  Grin
The traders have influence on the price of bitcoin to the best of my knowledge because those money bags you are referring to are also traders but the issue is just the volume they control whether individually or collectively is enough to make a difference considering the market capitalization which is just like a bucket of water from a pool in comparing it with foreign exchange market and other stock exchange market.
full member
Activity: 225
Merit: 100
Good job comparing the combined valuation of fiat currencies,just consider it has two different form of currency. The big whales you are talking about does not have that much significant amount of control over the price of bitcoin and if they did they could have done that already.Just embrace the current volatility and try to make some profit.
hero member
Activity: 490
Merit: 501
Traders have a good place in influencing the ups and downs of a certain cryptocurrency. Traders are bringing in the demand as well as the supply in the whole trading system. Although I would say that it is the general demand and supply of the coin that makes the great impact for its price.

Traders can be liken to agents bringing in the juice or the fuel needed for cryptocurrency to get into the roller coaster ride experience. I am just a new trader in Bittrex but am starting to see the whole picture.
legendary
Activity: 938
Merit: 1000
A lot of power. That's why the price can be stable. Traders are a necessary work-force that keep things under the markets control.
First we would have to differentiate the type of trader, those who have more coins or money they could certainly exert more influence than one or more small traders, so in function of your investment and strategies seek to maximize your profits trying to manipulate the price, but they are only part of the puzzle, there must actually be many more factors that significantly affect the price even more than traders.
hero member
Activity: 812
Merit: 509
Hi here !

So, the captitalization of BTC reached 40B $ , this is nice but not huge at all compared to FIAT currencies.

My question is : with such a "low" amount of money, does the traders have real power over the Bitcoin price ? I always heared about the natural inflation, simply more demand etc... But don't you think that if a lot of early investors with huge amount of BTC could gather and have control over its price ? Or they are simply slave of the system like every one of us ?

I'm waiting for your toughts  Grin

Traders have all the control over bitcoin price.

Now, you and I can both be traders as long as we sell/buy bitcoin actively. There is no real "minimum" per se for you to be classified as a trader. But the more capital you hold, obviously the more influence you are going to have on the price.

Market capitalization rising is good, it does reduce manipulation to some extent. But the fact is that early adopters still hold bitcoin - so their share of the entire fiat market capitalization remains the same as their bitcoins has risen in price as well. So if they dump their coins, there will still be a major impact on the bitcoin value.

We all hate price fluctuation, but unfortunately that's what makes bitcoin special. It is completely out of the grip of governments.
hero member
Activity: 1092
Merit: 501
Btc price may not be controlled by traders anymore but there is no denial that some exchanges do manipulate it heavily.We in india always have to pay a higher price than international market because of manipulation of some exchange and wallets
I think that the price of Bitcoin is much more easier to manipulate in the 3rd world countries and other countries other than the main ones that are more lenient on Bitcoin exchanges because there is not much Bitcoins being put on the order books. I usually see Bitcoin having a high price in the India region and I don’t really know why someone would pay so much for that when they could just use LocalBitcoins.

The reason of why people buy in local exchanges at higher prices is very simple, they do not have access to cheaper coins and they still want to buy bitcoins, this is a classic case of supply and demand, there is a lot of demand but there is not enough supply so the price goes higher and higher,  another reason may be they just don’t know better and buy from the local exchanges because they do not know they can buy cheaper bitcoin elsewhere.
sr. member
Activity: 672
Merit: 250
the bigger it becomes, the harder it is for small groups of people to control the price, but it is still possible.

no one sets the price other than the people buying and selling on the exchanges and there probably ain't very many who do it full time. but all it takes is one surge of serious demand and the coins they use to play are eaten up and never returned.

in the early days on mt gox there was one guy who was putting up walls of thousands of coins, the chart was a vertical line into infinity. some other guy came along, bought it all and he was never heard from again.
Bitcoin always have a development to have. Yes I agree that the more development happened to bitcoin the more transaction can possibly made by higher people because its price is way to high to do. And the changes of the price of the bitcoin also the traders point to trade because in trading you have to monitor the changes of price for you to earn and have an income on trading.
full member
Activity: 154
Merit: 100
A lot of power. That's why the price can be stable. Traders are a necessary work-force that keep things under the markets control.
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