notme
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May 31, 2013, 02:49:14 AM

Honestly I think if bots were gone in the long term we'd see the price totally collapse. There's no volume in the market, it just heads in whatever direction the nearest large buy/sell takes it while market maker bots give the impression that trades are happening. It's not exactly bullish. The only reason there aren't huge sells is because people are waiting for 135+ to dump everything they own while everyone who wants to buy is setting orders at 125 and below and waiting for a dump.

I miss the vibrance of the market in April/early May.

Market making bots buy definition only put orders on the book.  They only trade when some other entity places a market order.  How exactly does this lead to fake volume?