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34 sats \ 5 replies \ @Scoresby OP 10h \ parent \ on: Dumping a fork coin doesn't crash its price bitcoin
Yes, our disagreement is clearly based on what supply is.
It seems to me that
"willingness to make available for exchange at various prices"
=
"Willingness to buy at certain prices"
Your definitions of supply and demand are not different from each other.
They're almost entirely unrelated to each other. Why do you think they're the same?
If I'm willing to sell one of my chairs for 5k sats that doesn't tell you anything about what I'd pay for a similar chair. Other than, that I wouldn't pay as much as that.
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I was quoting your definitions.
If supply is the amount people "will make available for exchange at various prices" and demand is the amount people "will buy at various prices", you are saying they are the same thing.
Both of these are expressions of demand. A seller demands their chair as much as they offer to sell it for. Otherwise they would sell it for less. Making a chair available on the market for 5k sats is saying I would pay 5k sats for this chair. If you only would pay 4k sats for the chair, why not sell it for that? When you offer a thing for sale, your saying this is how much it is worth to me. If you want it, you have to give me that much.
If supply is the amount people "will make available for exchange at various prices" and demand is the amount people "will buy at various prices", you are saying they are the same thing.
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The difference is in who has it.
I can have a reservation price for selling something I own that is much higher than what I would pay for a replacement. I may not even want a replacement. My reservation price (supply) might be based on any number of factors, but one easy one is just expectation of what I can get for it.
There is a clearing price in the market, where supply and demand meet, but every other point on the supply and demand curves are distinct from each other.
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This is definitely where we disagree.
You are still defining supply as somebody's demand (willingness to pay) for a coin.
I think supply is how much of a coin is in existence.
There is a clearing price in the market, where supply and demand meet, but every other point on the supply and demand curves are distinct from each other.
By definition, a trade always occurs at the point where willingness to sell = willingness to buy. Which is two say, a trade occurs where demand is equal. Therefore a trade does not change demand.
All other points on the curves are completely hypothetical and does not exist. I'm not arguing price can't change, nor that demand can't. I'm saying a trade does not change these things. (I am still contending that the supply of a coin does not change unless the protocol changes and allows more or fewer coins to exist, or if someone provably burns coins).
I regret that we cannot come to agreement on this point. Nevertheless, I appreciate the time you've devoted to our discussion.
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I'm not sure where the disconnect is.
Supply has nothing at all to do with anyone's willingness to pay. It is the prices people are willing to sell for. If no one is willing to pay it, then there's no transaction. They're just totally separate concepts.
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