I wanted to reopen this thread in the hope that bitshares funs will discuss here trading regarding bts. All funds earned from this post will always go in buying and holding bts. Thanks for your support.
There was a flash crash in bts price to 700 satoshi
I don't know what may have caused the price to flash crash and recover but if I wanted to make a guess, I would say that this was a manipulation from the exchanges using customers funds. With the recent announcement about the peerplays sharedroping on bts, lots of bts funds have been withdrawn from the external exchanges to the bitshares DEX. A lot of people think that bts will skyrocket, so I would assume that there are people who margin trade long bts on Polo. Polo on the other side can easily create a flash crash so these positions are margin called and then the price to recover.
No offence to Polo or any other exchange. This is just my opinion and I don't really know the real reason the price flash crashed and recover. This is mainly to draw the attention to bts investors that we do not really need the external exchanges to trade that much. We can trade on our DEX and use the external exchanges only as fiat gateways.
If we ever want bts and steem to get more value, we should all engage in more trading on the internal exchnages of bts DEX and Steem DEX. We should try to exchange between us goods and services using bitusd, bitassets and steem dollars without the need to cash out to the fiat system. Once/if we achieve this then we would have achieved financial freedom.
Finally, I don't get why many people think that bts will crash after the peerplays snapshot window. This is like believing that bts value is only based on peerplays value. This is just insane...Of course markets are irrational many times so I wouldn't be surprised if bts price is crashed after the peerplay snapshot period, the same way I wouldn't be surprised if it skyrockets afterwards.. If you are a long term holder and believe in the bts potential, you shouldn't bother about those price manipulations. Just stick to fundamentals. If you are a day trader, then margin calls from polo due to flash crashes will teach you at some point a very hard lesson of how external exchanges can manipulate prices for their benefit, so I encourage everyone to trade on the internal DEX more often..