Steem Volume Inversion Spikes Bittrex Price To $1.65 - $0.32 Price Divergence Still Exists At Poloniex
Steem is mounting a solid price rally on the back of inverted exchange volume.
Volume that was previously trading on Poloniex is, at least temporarily, now trading at Bittrex:
Could this be the successful result of Steemians advocating for moving off of Poloniex, due to the incessant Steem deposit/withdrawal problems?
Special thanks to "d-pend" in the PAL MSP chat for the price update.
Sources: Bittrex, Coin Market Cap
Because STEEM/SBD withdrawals are currently disabled on Poloniex, resulting in a lot of sell pressure from people who want to withdraw their deposited value being forced to dump their STEEM.
I suspect that Poloniex is periodically disabling withdrawals on certain coins to create an arbitrage opportunity only they can take advantage of... Because they're insolvent and running a fractional reserve, frantically trying to bring themselves back to solvency before the world finds out, perhaps?
Edit: Deposits and withdrawals are disabled on Bittrex too. I really need to start checking wallet status before I buy with the intention of arbitrage...
This is a really smart idea. Perhaps that is exactly what they are doing?
Only if they're doing a really good job covering their tracks. At a time when the SEC is starting to assert its authority over exchanges, it's an incredibly dangerous thing for a US based exchange to do.
A fair point, but that depends on how well-audited they are. They might be able to mostly make up their records.
@lexiconical I did some last night at a 0.41 difference but I am fast running out of Steem that I had sitting on Bittrex. With all the wallet problems I have to wonder if the problem does not lie with Steemit . I hope whoever needs to fix whatever problem that exists does it soon I have over 5000 steem at poloniex that is still pending now for over 2 weeks or is it 3 weeks oh well it has been so long I have forgotten
It seems like more than 2 weeks to me!
Someone recently, in a post I should have bookmarked, suggested that the problem had something to do with the way Steemit requires the exchanges to hold all their Steem in their Steemit accounts. It's not so much a technical problem that needs fixing as a protest from Poloniex to avoid supporting Steemit as well, since it's a bit different from other coins.
May be mis-remembering that.
It could be huge business opportunity for some traders. Buy on Poloniex, then sell on bittrex. 0.36$ multiplied by 1000 could be a little profit.
I wish I had extra cash. Thanks for sharing this @lexiconical. Been a while, I hope you're doing fine?
Except that withdrawals are disabled on Poloniex, which is why the price is lower there - since the only way withdraw the value one has in STEEM there is by selling. If you already have a bunch of STEEM, and spare capital, you could sell on Bittrex and buyback what you sell on Polo, then wait for withdrawals to be enabled again. I wouldn't advise it though, since it requires trusting that exchange with money which anyone who's had the privilege of trading at Mt.Gox can tell you is a very bad idea - there are too many parallels between issues that Polo has been having and Mt. Gox in the months before the meltdown.
I can't complain, how are you? I have one of your posts open in a tab to catch up on.
It's about time for a spike!
Now the question becomes, how long can we hold it? I want a new floor of $2, I'd sleep much better at night that way.
Yeah, this is interesting, I hope we can see ATH soon again for the price of steem.
You gotta love these ups and downs of cryptos, breathing a sigh of relief right now. Thanks for the enlightenment.
It's a wild ride! almost 70% up since the lows yesterday at $0.93 (Poloniex)
Was sweating bullets at the thought of a crash and now I hear the exchanges for Steem are down, Bittrex and Poloniex. Is this good or bad in your opinion. I mean at least people can't sell Steem.
It's only the deposit withdrawal function, not the full exchanges, that are down.
I think the exchanges being down is probably keeping the Steem price lower than fair value. A resolution would probably be price-positive.
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