Silk Road forums
Discussion => Silk Road discussion => Topic started by: maryaxmass on January 02, 2012, 09:29 pm
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When I got my first batch of bitcoins (FINALLY) they were hovering around $3. While awaiting my money to go through so that I could purchase my second batch, after a very pleasant first few transactions, BTC prices have practically doubled. I have had buy orders out on TradeHill on the lower end, but things seem to be going up pretty steadily.
I guess my question is: should I grit my teeth and shell out at the current price for a buy order? Or should I wait it out a little while and see if it dips back down? Everything I have read recently has projected a continued upward trend.
I also understand that some vendors adjust their prices in accordance with the market fluctuation.
So if y'all could give me some feedback, and/or an idea of what you're currently doing in this regard, I would greatly appreciate it!
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most vendors have their prices tied to the US $ so the BTC price should adjust accordingly. It makes no difference if you wait for the BTC to drop or not.
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basically what jackstraw said. I was lucky enough to buy btc at $3, and am waiting for a vendor to replenish his product, so i'm waiting it out.
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Bitcoins are just a scam and they go up and down based on things that only the privledged few know. Bitcoins are also the worst part of SR. I hope the whole bitcoin system collapses so that way we can move on to a better E currency.
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Bitcoins are just a scam and they go up and down based on things that only the privledged few know. Bitcoins are also the worst part of SR. I hope the whole bitcoin system collapses so that way we can move on to a better E currency.
Where do these brilliant minds come from?
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IDK as bit coin value went up my bitcoin Price went down - well now it doesn't - the price left the bottom of page. :(
Redoing main comp so I have no listings atm. Am kinda sad that ina week when I come back i'll have to check prices and adjust all the time.
Am i wrong? I hope so but doubt it.
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Redoing main comp so I have no listings atm. Am kinda sad that ina week when I come back i'll have to check prices and adjust all the time.
Why not peg the prices of your goods to USD?
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Bitcoins are just a scam and they go up and down based on things that only the privledged few know. Bitcoins are also the worst part of SR. I hope the whole bitcoin system collapses so that way we can move on to a better E currency.
This is an interesting perspective that I had not come across until today, actually. Thank you for not saying "bitcoins are gay," like someone in another thread I read today.
I find the entire concept quite interesting, having read up on it as much as possible in the last couple of months. It doesn't seem like a scam to me. I don't really understand why people think that. Care to elaborate on your opinion?
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Bitcoins are just a scam and they go up and down based on things that only the privledged few know. Bitcoins are also the worst part of SR. I hope the whole bitcoin system collapses so that way we can move on to a better E currency.
That's what you wrote... but for some reason what I read was
I don't understand anything about economy and am very insecure about my ignorance.
My eyes must be playing tricks on me. I should lay off the LSD for a while.
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Bitcoins are just a scam and they go up and down based on things that only the privledged few know. Bitcoins are also the worst part of SR. I hope the whole bitcoin system collapses so that way we can move on to a better E currency.
Where do these brilliant minds come from?
Well, it would be a first step, of course - use your head!
The next step would obviously be to only sell items from a government approved list.
Honestly envious, if you're not going to think these things all the way through...
@Horizons - and I was blaming my morning coffee
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Bitcons prices are quite unstable, that's true. But currently the prices are stable compared with the summer (1btc was @ 30$).
There are lot of clearweb activities about bitcoin also. There are traders which try to make money with bitcoin.
I think Bitcoin is quite one of the best digital currencies that have ever been invented. The concept is great and has a large potential, i personally hope bitcoin will do its job @SR for another long time.
If you're doing it right you can get your bitcoins easily and anonymously via e.g. #bitcoin-otc, SR vendors or other (clearweb) forums.
Imho Bitcoin is worth to do some research on :)
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Bitcoins are just a scam and they go up and down based on things that only the privledged few know. Bitcoins are also the worst part of SR. I hope the whole bitcoin system collapses so that way we can move on to a better E currency.
Why do you think this?
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I'm confused about this whole btc issue. There has to be a better way.
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Bitcoins are just a scam and they go up and down based on things that only the privledged few know. Bitcoins are also the worst part of SR. I hope the whole bitcoin system collapses so that way we can move on to a better E currency.
I'd like to respond to this as well. I'm very new to SR and Bitcoin, so I might got it wrong ;).
I think that Bitcoin in itself could become a proper currency. Although it misses the control of a central authority, which means that it's probably easier to do stuff like insider trading. But with enough 'legit' users, this won't be a really big problem (there's a lot of weird stuff going on in the offline world, but it doesn't affect us that much).
However, the trading rates are very volatile and unpredictable. I have no clue why that is (maybe not enough users, so a single user can have a big impact on the rates?). This wouldn't be that bad if the SR economy was completely based on Bitcoins (suppliers, sellers, buyers, all using Bitcoins). If that was the case, all involved parties would not have to adjust their prices constantly. But this is not the case. My guess is that almost all, if not all, suppliers of our sellers are using other currency (USD, EUR, etc). My guess is also that the sellers will convert their earned Bitcoins to another currency at some point. This means that prices in Bitcoins are just a representation of whatever their worth in another currency.
Above combined with the mentioned volatile trading rates means that prices will fluctuate constantly and you can't really keep your Bitcoins as normal currency: you have to spend them right away (as you have no clue what the value is going to be in the near future).
Long story short: the value of Bitcoins changes way to fast (doubling in just 2 weeks, for instance), which makes it really hard to trust it. My guess is that if it's possible to pay with USD or something, a lot of people would choose to do that.
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All i know is I've spent allot of money on BTC and haven't got much in return as far as product, its already so expensive! I'm not a white collar kinda person, where real money doesn't matter, i really want SR to succeed! I think I just have to have faith in the sellers that they will adjust their prices to the ever changing BTC, i hope so. Keep SR accessible to everyone please! remember this is Amerika where 50 million plus ppl do not have access to the drugs they need, and for fucks sake a trip down LSD road every now and then. God forbid ppl having a good time without corporate Amerika getting its greedy bloody hands in it! keep it fair!....oh and when am i not gonna be called a newb anymore,...........Peace, Happy New Year!...i hope?......:L
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My personal Opinion is that BC's are at the start of a Rally. Within a 10 day Range, BC's went from 3 to 7. Right now, 7 seems to be The Resistance. If you go to http://bitcoincharts.com/charts/mtgoxUSD#rg60ztgSzm1g10zm2g25zv Set your settings: Time Period, 10 Days, Chart Type, default Candlestick. You'll see a Three Hump attempt to break through 7. If BC's break-Through 7.25, then it will likely keep going up. If it follows previous 10 days, 10 will prob be next Resistance Level...if i\the Resistance is too much at 7...then BC's will likely hang around the 5 to 6 range.
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Bitcoins are just a scam and they go up and down based on things that only the privledged few know. Bitcoins are also the worst part of SR. I hope the whole bitcoin system collapses so that way we can move on to a better E currency.
Why do you think this?
Outright scam is wrong, but he's wise to be skeptical from a financial investment standpoint, i.e. if you are trying to invest in Bitcoins in hopes they will appreciate in the long run then I think that's unwise. They may or they may not. There are a relatively small number of people with a relatively large amount of coins that can cause the price to plummet by selling (and when seeing the movement on the ticket, lots of others will sell as well to try and salvage some of their investment). Big risk but big reward as well I suppose.
However, if you're looking to buy drugs then they have a tremendous utility. Their volatility is mitigated almost completely if you buy the product shortly after you obtain the coins (which I'd suspect is the norm for your average personal drug buyer on here).
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Thanks oppyate that's helpful:)
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Ur Wecome lilith
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However, if you're looking to buy drugs then they have a tremendous utility. Their volatility is mitigated almost completely if you buy the product shortly after you obtain the coins (which I'd suspect is the norm for your average personal drug buyer on here).
This requires that sellers link their prices to an exchange. Does anyone know how many sellers are updating their pricing constantly/very regularly according to fluctuations in the Bitcoin value?
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Sellers have the option of setting their prices as a fixed BTC amount, or pegging it to the US dollar, in which case the BTC cost of an item will change depending on a 24-hour average of the USD-BTC exchange rate. I'd be surprised if there are any sellers who don't peg their items to the dollar.
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I guess my question is: should I grit my teeth and shell out at the current price for a buy order? Or should I wait it out a little while and see if it dips back down? Everything I have read recently has projected a continued upward trend.
Are you trying to use SR like a money market....because that's what it sounds like.
A USD on SR is still worth one USD. If you're trying to do more than just purchase goods from SR with your physical currency, then you need to prepare yourself for the ride of a lifetime.
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My personal Opinion is that BC's are at the start of a Rally. Within a 10 day Range, BC's went from 3 to 7. Right now, 7 seems to be The Resistance. If you go to http://bitcoincharts.com/charts/mtgoxUSD#rg60ztgSzm1g10zm2g25zv Set your settings: Time Period, 10 Days, Chart Type, default Candlestick. You'll see a Three Hump attempt to break through 7. If BC's break-Through 7.25, then it will likely keep going up. If it follows previous 10 days, 10 will prob be next Resistance Level...if i\the Resistance is too much at 7...then BC's will likely hang around the 5 to 6 range.
Thanks oppyate! Very helpful response.
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Bitcoin prices are supposed to be just under $10 by Feb. 1, I personally have my doubts but the analyst who's made this prediction has been pretty damned accurate for the last 4 months. I wouldn't expect it to be back down to $3 any time soon. here are a few ways to look at it:
if you're planning on buying something with bitcoins soon, get your bitcoins and buy them.... you're paying market rate and essentially buying at face value.
If you're not going to be buying soon, you can watch the market and buy low - then continue to watch the market until you make your purchase.... make your purchase when the bitcoin price is high.... you're then paying less this way (assuming you hit the peaks and valleys)
If you have the nuts, you can also trade across multiple crypto-currencies. This adds an exponential layer of risk, but also has HUGE potential for reward. (note, I do not have faith in any of the alt-chains as a long term investment!)
What I have done in the past is use my bitcoins to buy one (or more) of the other crypto currencies when their price is low against bitcoin.... I've made profits from: Litecoin, Solidcoin, fairbrix, geistgeld, and i0coin..... I've also taken losses from a few of those.
Another option is to purchase some hardware and mine some bit coin.
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Another option is to purchase some hardware and mine some bit coin.
This really isn't profitable these days, unless you don't have to pay for electricity (college dorm or a similar setup) but even then it takes considerable effort to turn a profit. Just a single card running (such as a gaming computer) isn't going to provide worthwhile yields, even before electricity cost is deducted from revenue.
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? it isn't profitiable?
It costs me (electricity)
about $1.65 to mine a bitcoin.
At current market rate mining is *VERY* profitable.
A friend of mine just paid off his mining rig - cost him $36,000 - paid off in 11 months.
It's especially profitable during the winter months because you can decrease your heating bill since GPUs put off so much heat.
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I believe BC's are ready to Break Through 7. If you look at the current Sinusoidal Wave from the 10th of this month to the 11th, there is a really nice Uptrend wave currently occurring. If there's plenty of Buy Volume Momentum, 10 is still the next area of Resistance as BC move upward.
http://bitcoincharts.com/charts/mtgoxUSD#rg5ztgMzm1g10zm2g25zv
Set Time Frame= 5 days, Chart Type= Median Price
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If you pay attention it's pretty easy to determine when BTC is going to rally. Whenever a media event is about to happen the price jumps. Then if the event if positive it goes just a little higher and then starts to slide back down. If the event is negative then it drops very quickly. There are other reasons it jumps, but this reason has held up for months.
The newest event is a episode of a TV lawyer show 'The Good Wife'. I think it's this weekends episode.
Bitcoin isn't a investment, it's a currency. Unless you like gambling you're better off to just buy what you need when you need it.
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Bitcoin isn't a investment, it's a currency. Unless you like gambling you're better off to just buy what you need when you need it.
Currencies are investments.
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Bitcoin isn't a investment, it's a currency. Unless you like gambling you're better off to just buy what you need when you need it.
Black Jack, Roulette and most other games in Casinos Favor House, usually 55 to 60 percent advantage vs. Player at .40%
Currencies, Stocks, Bonds, etc have a 50/50 chance of going up or down. Not truly Gambling as Neither you nor the House have any advantages.
Add in Limit, Buy/Sell Orders and you add to your good favor.
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Bitcoin isn't a investment, it's a currency. Unless you like gambling you're better off to just buy what you need when you need it.
Black Jack, Roulette and most other games in Casinos Favor House, usually 55 to 60 percent advantage vs. Player at .40%
Currencies, Stocks, Bonds, etc have a 50/50 chance of going up or down. Not truly Gambling as Neither you nor the House have any advantages.
Add in Limit, Buy/Sell Orders and you add to your good favor.
It's an investment, but not necessarily a wise one. Bitcoins are the most unstable currency in the world.
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If you pay attention it's pretty easy to determine when BTC is going to rally.
Markets are never ever easy to predict. I highly recommend everyone leave the speculating to people who know what they are doing. You're chances of making money trading is about 10%, another 10% break even and the remaining 80% lose. Forex is particularly hard.
Use a dealer on SR that hedges the dollar and buy your bitcoins only when you are about to make a purchase. This will eliminate any need to figure out where the market is headed.
Since this is a thread on speculating though I will give my two cents. The market looks like it's consolidating and digesting it's big move from early this year and has held it's price above the low of the marabuzo candle printed on jan 5th. It has been able to absorb the high selling volumes of the last few days even though normally you don't want to see people selling during this phase. Bigger picture there is resistance right near 8 and a lot more at 10 . We have built a nice solid 3 month base so if a breakout does occur it increases the odds of success.
Personally I am a breakout trader and never try to anticipate what the market will do. Technical analysis only gets you so far but it does not predict the future. If i wanted to trade this market I would wait for it to break through 7.25-50 and buy if there is good volume then sell half my gain at 9ish and let the other half run, setting a break even stop loss for it.
What i would not be doing is holding on to bitcoins recently bought hoping and praying the market can only go up from here. Good luck guys.
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[quoteWhat i would not be doing is holding on to bitcoins recently bought hoping and praying the market can only go up from here][/quote]
workforit69..lots of great Techie verbage and analysis on Volume. Forex included if your familiar with the fast movement between Euro & Dollar,
What if by chance you just happened to dunk in a couple of Grand in BC's when it was 3.15, talking almost 450 BC's. I've already Doubled and not panicking cause I see lot's of Support above 6.50. Just curious what you would do..workforit69
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I think the value of Bitcoins should just be pegged against the price of hard currency. For example the US Dollar. Or the Euro.
People should quit pretending Bitcoins are a real currency. They are just a way to anonymously pay for things. They are soft currency.
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workforit69..lots of great Techie verbage and analysis on Volume. Forex included if your familiar with the fast movement between Euro & Dollar,
What if by chance you just happened to dunk in a couple of Grand in BC's when it was 3.15, talking almost 450 BC's. I've already Doubled and not panicking cause I see lot's of Support above 6.50. Just curious what you would do..workforit69
Unfortunately over the past few years that pair ( euro/dollar ) has made me become much more knowledgeable about forex due to it's influence on the two markets i trade - s+p mini futures and oil futures.
I found myself in a similar situation as the one you're in - i took half off the table and bought a shitload of drugs with it. The other half is still in bc's. I agree that 6.50 is decent support but the longer we sit here and keep probing that level the more likely it will be broken. If you think the market is headed higher then by all means let it ride but at a minimum you should put in a sell order if it breaks down below 6 to lock in some gains. Nothing worse than having a winner turn into a loser.
Another option is to layer the position and buy more if it breaks out .... Unlike most novices who average down, adding to a winner is the way most pro's do it. Good luck, hope things work out for you.
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Black Jack, Roulette and most other games in Casinos Favor House, usually 55 to 60 percent advantage vs. Player at .40%
I hate to be that guy, but blackjack has around a 2% expected value over the house if you use proper strategy.
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QTC, I know where your coming from. If you've got a good counting Method, Plus or Minus, and lots of good, razor sharp thinking than yeah..I will ride with you on your statement. Point to all this is that I view the Bitcoin as a Hedge to make a little bit of profit as a Buyer. I'm not a Vendor, I'm a Buyer, yet if I started out with 100 BC's I paid 3 bucks for, then I can slowly use mt profits for good drug scores. Is Bitcoin Voliatile? Yes! Is it a "real" currency? Probably not..but if you have a 50/50 chance on being on the right side of the street, then I will use it as an investment vehicle as use proper startegies as workforit69 mentioned, such as Sell/Buy Limit Orders..maybe even Buy On Margin as CampBX offers that.