Author Topic: This is why BTSX has fallen in market cap  (Read 5137 times)

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Offline jsidhu

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In my mind, this is why BTSX's marketcap has fallen:
http://www.alexa.com/siteinfo/bitsharestalk.org

It's less popular because BTSX had a bubble and now people are bored and have moved on.

Being a Nxt fan, interesting Nxtforum currently ranks higher than BTSXtalk in terms of traffic:
http://www.alexa.com/siteinfo/nxtforum.org

Sorry the name NXT coin will not catch on.. its too dumb, you can solve the world's hunger crisis and smart money will not budge.
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zerosum

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The reason why BTSX hasn't rallied is because BTSX was priced for perfection prior to the merger and buying PTS/AGS doesn't help it achieve any unexpected growth.  I mean did any of you think that Dan had the possibility of leaving and focusing on other stuff before he announced the merger?  I highly doubt 90% of the community did...

The announcement showed small cracks in the BTSX foundation that investors (NOT pump and dumpers) didn't see before...

In short: Bitshares is what most of us all thought BTSX would be, but with more outstanding shares... hence the selloff

This part makes a perfect sense! And as Xeldal said usually there is more than one factor at play.
« Last Edit: October 31, 2014, 06:52:10 pm by tonyk2 »

Offline Riverhead

The feeds use a median price and are taken from a few exchanges. While this attack in theory works in practice the peg isn't that easy to move. However it could be the case, as it often is, that the exchanges stay more or less in sync price wise. If you're pushing down the price on one the others will probably follow.

Offline hughmanwho

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In my mind, this is why BTSX's marketcap has fallen:
http://www.alexa.com/siteinfo/bitsharestalk.org

It's less popular because BTSX had a bubble and now people are bored and have moved on.

Being a Nxt fan, interesting Nxtforum currently ranks higher than BTSXtalk in terms of traffic:
http://www.alexa.com/siteinfo/nxtforum.org

Offline toast

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Here's a theory,  keeping in mind that no explanation can account for everything.  There are always many things going on to account for what the price is doing.

If I had a large stake of BTSX and I wanted to get a bunch more.
This looks very appetizing.


So you buy $132,000 worth of bitUSD first.  Then Sell your BTSX on the exchanges to push the price down.

If you can push it below .000043 BTC/BTSX ( above 68.68 BTSX/bitUSD) and keep it there for a moment while youve got your orders to sell all the bitUSD you acquired earlier on the BTSX exchange ready to capture all these margin calls.

So long as it takes you less then what you profited from triggering the margin calls to do it( could be as much as 300 BTC worth of BTSX, depending on where you bough bitUSD)   you've capture a sizable profit and increased your BTSX holding.  As well, now you can buy as much of the BTSX back as you're able at the now depressed prices.


 

I wouldn't mind cleaning out some of those grandfathered shorts. They're not paying interest and get a free ride for a year.
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Here's a theory,  keeping in mind that no explanation can account for everything.  There are always many things going on to account for what the price is doing.

If I had a large stake of BTSX and I wanted to get a bunch more.
This looks very appetizing.


So you buy $132,000 worth of bitUSD first.  Then Sell your BTSX on the exchanges to push the price down.

If you can push it below .000043 BTC/BTSX ( above 68.68 BTSX/bitUSD) and keep it there for a moment while youve got your orders to sell all the bitUSD you acquired earlier on the BTSX exchange ready to capture all these margin calls.

So long as it takes you less then what you profited from triggering the margin calls to do it( could be as much as 300 BTC worth of BTSX, depending on where you bough bitUSD)   you've capture a sizable profit and increased your BTSX holding.  As well, now you can buy as much of the BTSX back as you're able at the now depressed prices.


 

Offline stevejobsghost

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Once the shares are merged and the supply increased to 2.5B then I would expect a 20% climb in market cap.  This will not help the price but will make the charts look better.

Offline xeroc

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I likeshare you optimism ..

and if what you say is true .. than BTS(X) seems to already be a business :-P

Offline GaltReport

Could be some truth in what you say but I would say a good dose of uncertainty is playing a part in this as well.  Once the announced changes have taken affect, I'm hopeful that the situation will stablize before moving upwards as we go forward.

Offline lil_jay890

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I love how people blame any downside moves as pump and dumps...

I've traded for the last 8 years and I'll tell you what is most likely happening.

Typically in mergers and aquistions the buying company (BTSX) shares are sold off while the aquired company (PTS AGS) shares rally because a premium is usually paid over the current market price in order to gain full control of the company.  The former is happening in BTSX since it will be diluting in order to acquire PTS and AGS.  PTS and AGS are not rallying because there shares are not being bought at a premium in order to gain a controlling stake.  Hence you only get matching downward actions in all the different share types.

There are some cases where the acquiring company shares will rally when they take over a competitor.  This usually only happens if the market thinks the acquiring company is getting the acquired companies shares at a discount.

The reason why BTSX hasn't rallied is because BTSX was priced for perfection prior to the merger and buying PTS/AGS doesn't help it achieve any unexpected growth.  I mean did any of you think that Dan had the possibility of leaving and focusing on other stuff before he announced the merger?  I highly doubt 90% of the community did...

The announcement showed small cracks in the BTSX foundation that investors (NOT pump and dumpers) didn't see before...

In short: Bitshares is what most of us all thought BTSX would be, but with more outstanding shares... hence the selloff