Theory That Bitcoin Price Is Being Propped Up(fortune.com) |
Theory That Bitcoin Price Is Being Propped Up(fortune.com) |
That coverage discussed that much of the pricing up-moves this past month are happening on weekends when there is less liquidity/action, and then saying some analysts see this as suggestive that some whale(s) are deliberately trying to push the price up (using weekends to get the most oomph for their trading dollar.) There was also an assertion that the market volumes involved in bitcoin are substantially less than in other more traditional markets so the market is more susceptible to this sort of thing.
I have no knowledge of the truth of any of this, but there was a thread of a "fact" to that argument which I didn't notice in this Fortune article (so I pass it on.)
Isn’t that the definition of a market?
Could you imagine an alternative where this does not happen?
So I understand that Tether is shit if it’s true but it has nothing to do with bitcoin.
Nobody knows anything for sure.
People who like Bitcoin will deny this.
People who hate Bitcoin will use this as confirmation bias.
/thread
We know for sure that "bad behavior" is fairly common in this unregulated "marketplace". If it's easy and possible and profitable, someone is going to do it.
This alone is sufficient to deter a lot of sensible investors.
That's not what happened. Robinhood (and a couple others) weren't prepared for a stock with no fundamentals to be bought by everyone, so they didn't have the collateral for it that was required.
"Oh I see. That's totally different. Case dismissed."
Not that they're in the same league, but it feels like the same sport.
The Fed is incentived to profit from economic growth and increased financial activity --- which theorectically works to everyone's benefit. Individual Fed board members are restricted from personally investing in the financial markets to avoid the appearance of any conflict of interest.
> The Fed does not print money for it's own personal/private use or to directly benefit it's members.
They can guess but it's not possible for these private institutions to "know" what policy changes the Fed will make because even the Fed doesn't know until they meet and vote. It's not practical for one of these institutions to individually request or receive special treatment or favors from the Fed. There is no one individual at the Fed empowered to grant any such request. Making any such attempt would subject the institution to having it's banking charter revoked.
Compare this to crypto where exchanges can and do grant themselves special treatment and secret monetary favors without any permission or oversight whatsoever.
That's not a defense of crypto, it's an acknowledgement our banking system is corrupt. It's nice that it magically always works out for those in the know though.
Crypto has plenty of issues, but these defenses of the corrupt use of the Federal Reserve is pretty silly.