JorgeStolfi
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June 23, 2014, 10:57:13 PM

Alright. So when FBI sell seized btc, the price will go down?
Methinks it depends on whether (a) the sale price will be disclosed or not, and (b) the coins will be bought at about the current market price, well above it, or well below it.

If the sale price will not be disclosed, then:

* if all the coins are bought near or well above market, then there should be no effect on price, maybe.

* if some of the coins are bought 30% below market (say), the buyer may be tempted to dump his coins even if it makes the price fall 25% below market.

If the sale price gets disclosed, then:

* if all the coins are bought well above market price, that would generally make people more confident, so the price should rise;

* conversely, if some of the coins are bought well below market, that will make people less confident, and the price shoudl fall.  Morever,
the buyers may dump, as per above.

* otherwise (some coins bought near market, none well below market) it should have no effect.