Billions want to come in BCH but they want you to dump it first . Please wrap your head around the following example:

Estimating the hypothetical price increase from a $10.3 billion buy requires understanding market depth, which involves: 1. The current order book (how many BCH are available at each price point). 2. The elasticity of the market (how price changes as demand shifts).

Simplified Model for Price Impact

Let’s use the midpoint liquidity equation to approximate how price might react to a large buy:

 • Trade Size = $10.3 billion. • Market Depth = The total dollar value available to absorb buys without significantly moving the price. If no precise data is available, we can assume market depth is 1%-5% of BCH’s current market cap (common in crypto markets). For BCH, with a market cap of ~$10.38 billion, market depth might range from $100 million to $500 million.

Scenario 1: Market Depth = $100 million

This implies the price could increase by 103 times the starting price (524.56 × 103), bringing BCH to $54,028 per coin.

Scenario 2: Market Depth = $500 million

This implies the price could increase by 20.6 times the starting price (524.56 × 20.6), bringing BCH to $10,801 per coin.

Reality Check

These estimates assume a linear response, but markets are more complex: • Traders would react by selling into the rally, adding liquidity. • Algorithmic traders and arbitrageurs would attempt to stabilize prices.

In reality, the price increase would likely fall somewhere between these extremes, but it would still be massive. A buy of this magnitude would fundamentally disrupt the BCH market.

submitted by /u/Kingcoreythefirst to r/btc
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Quelle: bitcoin-en