edwardspitz
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April 18, 2014, 02:49:23 PM

Well, for a long term investor, it is really better to not check the charts and the forum for a half year, just like I did last year. Because this price movements are really silly Grin

Day traders are dedicated, I give them that much. I track major bubble movements and overall sentiments, but some stuff I read on here is from 24 hour chart watchers who seem to make decisions and start drawing lines with every $5 fluctuation in price. I could never do that. I just hope they are successful enough to make it worth their while, let alone not lose their shirt. Seems like a sad way to spend a majority of one's time, especially with nice weather on the horizon (here in Canada anyways, I am hoping).

Successful day traders provide a vital function. They are the liquidity providers, the decentral bankers of Bitcoin. They reduce volatility by profiting from it. They accomplish this without even intending to, by looking after their own interest.

I don't agree with your statement, inexperienced daily traders are causing the volatility, or should I call them "pigs" that jumps in and out without knowing what they are doing, a small price drop (5$) makes them sell and bring the price down and shout "Bitcoin IS DONE, IT IS THE END", then a small rise of 5$ makes them all buy back and yell "TO DA MOON".....


Why should Bitcoin go to wallstreet if wallstreet traders can make tons of money from such unregulated market with all these noobs around ? the moment Bitcoin hit Wall street they will lose this kind of game....take china as an example, anyone farts there the price crash, no new news, they use the same old thing to trigger panic and make tons of money.... I find it really hard to make money the last few months, I used to take a spot and stick to it when we didn't have these Chinese shit around, now it is impossible to predict a direction... because you know "you never know when the Chinese fart".

I agree that some day traders scream and shout a lot, but I don't think you are right about traders causing the volatility. Log term investors just follow a log term trend and they will sometimes just dump/buy a huge amount of coin out of the blue. That is very confusing, but also great for day traders. They quickly spot this and drive the market in the opposite direction.