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Comment by josu | Hacker News Reader

On top of that, remember that bitcoin has many prices, the most important ones being US dollar, Euro and Chinese Yuan. Right now bitcoin is around 500USD, but it's sitting on 450EUR. People buying in euros will be confident that the price will go up to 500EUR and they'll keep pushing up the price. Wich will push CNY price to 3450CNY, a very ugly price, so it will probably move to 3500CNY.

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With all due respect, I don't think that's how markets work. I know that people tend to psychologically anchor to round figures, but I don't see this situation playing out as you've described.

In earlier days of remember I think I do remember this happening. Once the price got to a certain point (~980?) it very quickly would get up to 1000, and then hover there for a while. Part of this is because people will put sell requests at that round number.

He doesn't understand Chinese. When you said "ugly number" this is very important to the Chinse. They will push the price based on what number they are attached to.

If the price is 314.44 they will push it to 316.88 because that is the number they like, and if they dictate that price it is like they have created their own luck. At least this is my philosophy dealing with Chinese and watching their buy patterns.

There are very real 'sell walls' on most of the markets, hovering around rounded increments. Once those "barriers" get broken through, there is usually a spike in price afterward. I could totally see a spike on one market driving buys in another market, so it is a reasonable point to consider the effect cascading.

Citation, please. With evidence that it actually works with real markets.

This sounds a lot like the kinds of claims that are routinely made in technical analysis for stocks. To the best of my knowledge, new claims can always be generated because humans are very good at imagining patterns in random data, but attempts afterwards to verify those theories uniformly fail. However stock brokers have found that it is very good for business to have customers who believe in technical analysis, because it is always easy to convince those customers to trade. Therefore lots of people get exposed to all sorts of technical analysis theories about "psychological support levels" and so on. But it doesn't actually work in reality.

In 3 days the BTC price has surged around 40% without anything actually happening.

We are not talking about a regular market.

so can you buy in Dollars and sell in Euros at a profit?

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