Today, we are jumping 1 chapter back, will be continue study Part 7 here why are we bias to HIVE? But before we go any further, I would like to show you I am NOT bias to HIVE at all. It's just how the market behave and it is time for me to fetch some HBD on it's way "UP".
We've been always focusing on buy, and therefore people start to get the idea of why David has always been buying hive? No I'm not, I didn't sell HIVE because market did not go "UP" on the HIVE/HBD exchange, therefore my order did not trigger. However, it's going to change today, because the 0.15 has been broken and we'll have to somehow buy it back with the same "NUMBER" of HIVE.
So, I'm not so bias to HIVE afterall. If you remember few days back we have study on the spreadsheet. I'm just telling you, fix the number of exchange, that will in the end fix your greed and fear and throw them out of the equation. When you having too much numbers stuck in your head, you'll start to get confused. So, the best is, fix it 10. If you buy HIVE with 10HBD, then sell it back 10HIVE to the market from your previous buy.
This was happened few days back when the 10HBD were paid for 66.667HIVE. Notice there are buy backs at the bottom with all the Paid 10.000HIVE for certain amount of HBD? Trust me, I have all those orders in place waiting for the market to take sweep them away. If not, how do you think I will have HBD to play with?
Clearly, it looks like David is heavily bias on HIVE. And the table above shows how heavy HBD can exchange with HIVE. My answer to you is, no I never was. That's just the nature of these two crypto works. It's the denominator cheat code. If you can't set yourself free from keep on thinking why, you'll have trouble to understand the following.
This table was posting back in Episode 7 here in case you missed it. This part is very important, because this is HIVE/HBD more than 1.000. This reminds me in 2018 first season, after the SBD run, and we seen STEEM picking up speed racing up all the way to 8 dollars whilst SBD were left at around 6 dollars. That is exactly what happened here. Can you see where is this sitting on the table?
It's somewhere around 1.35 ratio. If someday, HIVE really rally all the way up, will you be able to pay 10HBD to get only 7.407HIVE? Or the other way round, will you be paying 10HIVE for 13.5HBD? By that time, I encourage you to come back and challenge my, David why would you BIAS HBD?
The idea is simple, the evil ratio is not an evil. It's the HUMAN perception that is evilish, greedy, and fear that causing us to lose money to trading. Mathematics equation never fail. Those who failed, is because they THINK the maths fail. I'm just a nobody in trading, and decided I don't care about how to maximize my profit, I just wanted every little bit of everything here and there. We're in the blessed era when the core token(HIVE or STEEM in our case since we're actively involved in either or both HIVE and STEEM blockchain) is cheaper than the pegged dollar(HBD or SBD in this case). It will be less fortunate when the pegged dollar being cheaper than the core token, you'll start to cry and seeing people NOT utilizing their pegged dollar to purchase core token anymore.
Due to heavily involved in #hive #blockchain explanation for the trading dynamic, this post is originally authored in #hive network, and will be cross posting at #steem later for the readers there, to understand the possibilities of STEEM become more valuable than SBD
Previous Episodes
Part 8 here
Part 7 here
Part 6 here
Part 5 here
Part 4 here
Part 3 here
Part 2 here
Part 1 here