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This is off topic but since a lot of people seem to be experts I just wanted to ask.

Can someone explain this to me

http://000fff.org/uploads/bitcoinprice.png

The flat-lines. I have seen it several times. Is is because of lack of data of trading or lack of trading or what's making the price flatline like that?

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It's due to large order volume at those prices. If an unusually large limit order or group of limit orders is placed at $11,800, then incoming market orders can chip away at the remaining volume available at that price but not move the externally visible price.

Thanks

It's definitely not the lack of trading that's causing this. It's funny that you would even think that haha.

Why is it funny? Is there some obvious explanation for this I am missing? Seen it a couple of times now.

It's funny because the trading volume of Bitcoin is huge - about 250 million dollars worth of Bitcoin is bought and sold per hour around the world, 24/7.

My guess is that the reason we see the horizontal lines is because let's say someone places a large sell order (say 1000 Bitcoins) at $11600. It takes a few minutes for the market to absorb it. The price stays flat until the entire order is bought.

Yes, which is why I was asking.

I have had bitcoin since early on so I am aware of increased trading volume.

Thanks for the explanation.

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