Can anyone explain to me how lending monero does any good for monero at all?
The way I figure it, lending monero, at any rate, doesn't make any sense. Because even if its at 5%, you simply borrow monero, dump, then place a buy wall with you new bitcoin right above the price you dumped to. So you're bound to buyback the monero you just sold + more monero to cover the lending rate.
or do I not get markets. This second option is highly likely.
Topic: [XMR] Monero Speculation - page 1520. (Read 3313576 times)
Rates up to 0.28% now.
Anyone lending their coins for less than 0.1% should feel very very stupid right about now. I hope they enjoy their dust while those of use with a spine collect real money.
These interest rates will squeeze Moneros from the weak selling hands to my strong hodling arms.
Just had an amusing argument with a coworker who has heard my Monero exploits and saw me looking Polo earlier.
Bottom line: it happened before with Bitcoin and it will happen again. There's going to be some hardcore FOMO going around and it's going to cause a lot of people to lose money buying Monero at the peak. Make sure you don't promise anyone anything with regards to it - and let them know you are prepared for it to go to zero, even if you hope it doesn't.
Quote
"So if I buy Monero, where will it be at in 6 months?"
"I don't know and anyone who says they do is probably lying."
"But you own it."
"Yes, a lot. Everything I have is in it."
"So what if I put 30 thousand dollars in it. Will I double it?"
"I don't think you should do that. Are you prepared to lose every cent of that 30 thousand dollars?"
"Well no, I don't want to lose that money."
"Then definitely don't put it in cryptocurrency. If you want some, only put in what you are prepared to totally lose."
"Ok, but what are the chances of it going to zero?"
"I don't know - I can only tell you that I have all my savings into it, and I am prepared to lose every dime of that. It will hurt, but I will still be eating. You should not buy this if you don't understand it."
"Ok, but someone surely understand it. What are they saying Monero goes to say.... by the end of the year?"
"Listen, I am the smartest person you have access to regarding this stuff, and I simply don't know - nor would it be ethical for me to guess when I already own it and you are considering putting money into this. I could ask the smartest person I have access to about this, and they still probably wouldn't know."
"Ok, so what if I put 30 thousand dollars into this."
"What if I told you there was a hot penny stock that could guarantee to double your money in 6 months; would you buy it?"
"Well, no."
"So why are you so gung ho to shovel so much money into this?"
"What was Monero at 2 months ago?"
"About 40 cents."
"What is it now?"
"80 cents."
"So I could have already doubled my money? Fuckkkk."
"Yes, but that is the past. Now you have to decide if it's worth 80 cents. I think you should read about it and consider putting in just a little money, no more than you are willing to completely lose."
"I don't know and anyone who says they do is probably lying."
"But you own it."
"Yes, a lot. Everything I have is in it."
"So what if I put 30 thousand dollars in it. Will I double it?"
"I don't think you should do that. Are you prepared to lose every cent of that 30 thousand dollars?"
"Well no, I don't want to lose that money."
"Then definitely don't put it in cryptocurrency. If you want some, only put in what you are prepared to totally lose."
"Ok, but what are the chances of it going to zero?"
"I don't know - I can only tell you that I have all my savings into it, and I am prepared to lose every dime of that. It will hurt, but I will still be eating. You should not buy this if you don't understand it."
"Ok, but someone surely understand it. What are they saying Monero goes to say.... by the end of the year?"
"Listen, I am the smartest person you have access to regarding this stuff, and I simply don't know - nor would it be ethical for me to guess when I already own it and you are considering putting money into this. I could ask the smartest person I have access to about this, and they still probably wouldn't know."
"Ok, so what if I put 30 thousand dollars into this."
"What if I told you there was a hot penny stock that could guarantee to double your money in 6 months; would you buy it?"
"Well, no."
"So why are you so gung ho to shovel so much money into this?"
"What was Monero at 2 months ago?"
"About 40 cents."
"What is it now?"
"80 cents."
"So I could have already doubled my money? Fuckkkk."
"Yes, but that is the past. Now you have to decide if it's worth 80 cents. I think you should read about it and consider putting in just a little money, no more than you are willing to completely lose."
Bottom line: it happened before with Bitcoin and it will happen again. There's going to be some hardcore FOMO going around and it's going to cause a lot of people to lose money buying Monero at the peak. Make sure you don't promise anyone anything with regards to it - and let them know you are prepared for it to go to zero, even if you hope it doesn't.
Monero doesn't need many people like you to become a success. A few people putting all their savings into XMR can alone give a significiant push to the marketcap of Monero as there is no way to buy quantities of coins without a price reaction. At some point when we are in the minimum block reward and the amount of money chasing after Moneros will increase make some parabolic moves to Monero.
I really hope someone doesn't get their account lightning bolted in an epic Monero short squeeze, but it's a distinct possibility if the sell side vanishes as a result of opportune cooperation and someone massively short that is forced to cover.
Why anyone would even begin to short Monero blows my mind - it is a tiny asset with unlimited upside potential.
I can only imagine that the Dash faithful might be attacking in a last ditch effort to save their currency, but it is shortsighted. What is inevitable is a race to exits with Dash as it gets shorted into nothingness, the network collapses, and every whale rushes into Monero... One by one.
In any case, I suppose it's conceivable we break 170k support and collapse back to the realm of 140k to 170k. I would never say never, as trading has surprised me too much. I hope we don't, and would be annoyed if it happened but will simply grit my teeth and continue to acquire. As they say in the investing world: the prospectus hasn't changed, just sentiment.
But it feels far more likely that we break to the upside and finally smash through that 210k resistance in a series of epic green candles that obliterate any short standing in the way, and creates a massive FOMO throughout Poloniex.
Why anyone would even begin to short Monero blows my mind - it is a tiny asset with unlimited upside potential.
I can only imagine that the Dash faithful might be attacking in a last ditch effort to save their currency, but it is shortsighted. What is inevitable is a race to exits with Dash as it gets shorted into nothingness, the network collapses, and every whale rushes into Monero... One by one.
In any case, I suppose it's conceivable we break 170k support and collapse back to the realm of 140k to 170k. I would never say never, as trading has surprised me too much. I hope we don't, and would be annoyed if it happened but will simply grit my teeth and continue to acquire. As they say in the investing world: the prospectus hasn't changed, just sentiment.
But it feels far more likely that we break to the upside and finally smash through that 210k resistance in a series of epic green candles that obliterate any short standing in the way, and creates a massive FOMO throughout Poloniex.
Rates up to 0.28% now.
Anyone lending their coins for less than 0.1% should feel very very stupid right about now. I hope they enjoy their dust while those of use with a spine collect real money.
There's 100k up for loans now, and it seems our little squirrel is outta nuts.
URL here:
https://moneroaddress.org/
Which is simply a port of:
https://github.com/moneromooo-monero/monero-wallet-generator
Finally, the seed is compatible with both MyMonero and simplewallet.
https://moneroaddress.org/
Which is simply a port of:
https://github.com/moneromooo-monero/monero-wallet-generator
Finally, the seed is compatible with both MyMonero and simplewallet.
mymonero.com generates a 13 word seed, but moneroaddress.org uses 25 words.
In order to generate a wallet that's compatible with both, you have to start by generating a 25 word wallet at moneroaddress.org. Then, you go to mymonero.com and enter the 25 word seed (mymonero.com will accept 25 word seeds, though it doesn't generate them).
Actually, it does (if you don't mind using your browser console).
Open your browser console and enter: "mn_encode(random_scalar());" and log in with the words it returns.
Another thing I have noticed is that the big buy wall at DASH/BTC on Poloniex disappeared. It was around 100 BTC and presumably belonged to Otoh, a large DASH whale. It could very well be that he removed it from the bids to use as collateral to short XMR. This is a bit speculation though.
Only 30 Masternodes to ~zero. Creates quite a large incentive to be the first to liquidate Masternodes and dump the Dash while you still can.
Rates up to 0.28% now.
Anyone lending their coins for less than 0.1% should feel very very stupid right about now. I hope they enjoy their dust while those of use with a spine collect real money.
The simplest estimate to make (not necessarily the most reliable) is that the price is in inverse ratio to the emission. So, roughly Moore's law.
Another thing I have noticed is that the big buy wall at DASH/BTC on Poloniex disappeared. It was around 100 BTC and presumably belonged to Otoh, a large DASH whale. It could very well be that he removed it from the bids to use as collateral to short XMR. This is a bit speculation though.
Rates up to 0.28% now. I estimate that his total short position is currently around 30k XMR, which of course have to be bought back at some point.
What if another whale else comes along and goes long buys pushing the price higher
Does that mean this shorter gets liquidated?
Great question. Not sure I know the answer exactly, but I *think* the answer is "No, not necessarily" since multiple variable can impact liquidation triggers (e.g., time).
Rates up to 0.28% now. I estimate that his total short position is currently around 30k XMR, which of course have to be bought back at some point.
What if another whale else comes along and goes long buys pushing the price higher
Does that mean this shorter gets liquidated?
It depends on the amount of collateral being used to support the trade. Eventually the losses will be large enough that liquidations will occur, but there is no way to know specifically when that is. You can make guesses based on the assumptions of say, high, medium, or low leverage. High being the minimum collateral to open the trade of course.
EDIT: another complicating factor is that the collateral can be any of the margin coins. Declines in the value of the collateral can also trigger liquidations.
Rates up to 0.28% now. I estimate that his total short position is currently around 30k XMR, which of course have to be bought back at some point.
What if another whale else comes along and goes long buys pushing the price higher
Does that mean this shorter gets liquidated?
Yes, he would have to buy everything back from the asks. Check out the example of short selling and short squeeze I posted before.
Meanwhile, he took out another 5.5k and put it at 185k as well. I estimate that his open position is +- 35k currently.
Rates up to 0.28% now. I estimate that his total short position is currently around 30k XMR, which of course have to be bought back at some point.
What if another whale else comes along and goes long buys pushing the price higher
Does that mean this shorter gets liquidated?
Rates up to 0.28% now. I estimate that his total short position is currently around 30k XMR, which of course have to be bought back at some point.
A long story short: It means the price is -probably- heavily manipulated at the moment. XMR shows far more stable now than most alts and believe it or not the price does not represent its true potential. If you don't want to take my word for it, check volume-wise the poloniex alt-trading list. For nearly half a day this was the only altcoin that had a positive sign...
Market still looking bullish in my opinion. Furthermore, someone took out +- 8k in shorts and subsequently dumped them on the bids.
EDIT: Still taking out shorts and subsequently dumping them. Up to +- 10k now I estimate.
EDIT2: Up to +- 13k now. All market dumped.
EDIT3: Make that +-14k. Bear in mind that he has to buy it back sometime.
EDIT4: He took out another 3-4k which are slowly being dumped now, totalling +- 18k.
EDIT: Still taking out shorts and subsequently dumping them. Up to +- 10k now I estimate.
EDIT2: Up to +- 13k now. All market dumped.
EDIT3: Make that +-14k. Bear in mind that he has to buy it back sometime.
EDIT4: He took out another 3-4k which are slowly being dumped now, totalling +- 18k.
He took out another batch of shorts and subsequently market dumped them. I estimate his short outstanding currently is +- 22k. Rates are also over 0.1%
Which means what?
Here is an explanation on short selling and what short squeeze is:
Quote
Well, first you need to know what short selling is. Shorting a stock is an investor borrowing a stock that you then sell at the original price but agree to buy back once the price drops. Here's an example: Let's say you think Killabri Cookies is priced too high at $30 a share. You borrow 100 shares of that stock from your broker and sell them for $30 a share. Few days later it comes out that Killabri Cookies has crack addicts in the kitchen and the price drops to $25 a share. You then buy back the stock as per your agreement with your broker but you're buying at $25 instead of $30 - you're making a profit of $5 a share.
Now, a short squeeze occurs when the opposite of what I described above happens - let's say you borrow those 100 shares at $30 a piece thinking Killabri Cookies is gonna go down, but a few days later after you buy a brand new product hits the line that changes everything and the stock balloons to $40 a share. You're stuck holding shares you thought were going to collapse when you're now going to owe money back to your broker. If enough short sellers think they need to cover their position by buying enough stock to make sure they don't lose money, that inflates the stock price substantially - hence the "squeeze" of someone trying to stay short on the stock.
Now, a short squeeze occurs when the opposite of what I described above happens - let's say you borrow those 100 shares at $30 a piece thinking Killabri Cookies is gonna go down, but a few days later after you buy a brand new product hits the line that changes everything and the stock balloons to $40 a share. You're stuck holding shares you thought were going to collapse when you're now going to owe money back to your broker. If enough short sellers think they need to cover their position by buying enough stock to make sure they don't lose money, that inflates the stock price substantially - hence the "squeeze" of someone trying to stay short on the stock.
The same concept applies to cryptocurrencies. However, instead of borrowing from "your broker" traders can borrow from other people at Poloniex in the lending market. See:
https://poloniex.com/lending#XMR
Market still looking bullish in my opinion. Furthermore, someone took out +- 8k in shorts and subsequently dumped them on the bids.
EDIT: Still taking out shorts and subsequently dumping them. Up to +- 10k now I estimate.
EDIT2: Up to +- 13k now. All market dumped.
EDIT3: Make that +-14k. Bear in mind that he has to buy it back sometime.
EDIT4: He took out another 3-4k which are slowly being dumped now, totalling +- 18k.
EDIT: Still taking out shorts and subsequently dumping them. Up to +- 10k now I estimate.
EDIT2: Up to +- 13k now. All market dumped.
EDIT3: Make that +-14k. Bear in mind that he has to buy it back sometime.
EDIT4: He took out another 3-4k which are slowly being dumped now, totalling +- 18k.
He took out another batch of shorts and subsequently market dumped them. I estimate his short outstanding currently is +- 22k. Rates are also over 0.1%
Which means what?
Market still looking bullish in my opinion. Furthermore, someone took out +- 8k in shorts and subsequently dumped them on the bids.
EDIT: Still taking out shorts and subsequently dumping them. Up to +- 10k now I estimate.
EDIT2: Up to +- 13k now. All market dumped.
EDIT3: Make that +-14k. Bear in mind that he has to buy it back sometime.
EDIT4: He took out another 3-4k which are slowly being dumped now, totalling +- 18k.
EDIT: Still taking out shorts and subsequently dumping them. Up to +- 10k now I estimate.
EDIT2: Up to +- 13k now. All market dumped.
EDIT3: Make that +-14k. Bear in mind that he has to buy it back sometime.
EDIT4: He took out another 3-4k which are slowly being dumped now, totalling +- 18k.
He took out another batch of shorts and subsequently market dumped them. I estimate his short outstanding currently is +- 22k. Rates are also over 0.1%
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