It took fairly a little bit of pondering, however right here is the way you arrive at a “purchase immediately” or “promote immediately” value.
Shall we say you’ve got purchase orders:
- purchase 100LTC at 5BTC
- purchase 50LTC at 4BTC
- purchase 200LTC at 3BTC
And promote orders:
- promote 100LTC at 6BTC
- promote 500LTC at 7BTC
- promote 100LTC at 8BTC
and so forth.
We are able to acquire quite a bit from this straightforward set of orders. For one, the market depth chart turns into very helpful when taking a look at this information. So, you might say that the market unfold is 1BTC on this case, as a result of purchase and promote orders are separated by 1BTC
Now, let’s imagine we’ve 125LTC we wish to promote. The best way you’ll choose the perfect promote instantaneous value is to take a look at the purchase orders. Appears to be like like you might promote your first 100LTC at 5BTC and the remaining 25LTC at 4BTC. So, 5BTC needs to be your max price. Relying on the API you’re utilizing, you may wish to place two separate orders at completely different costs or place one with the max value assumed.
It really works the identical manner with shopping for. IF you wish to purchase 650LTC, you’ll be capable of purchase the primary 100LTC at 6BTC, after which the following 500LTC at 7BTC and the final 50LTC at 8BTC. So, your max value could be 8BTC. Though your precise value would fluctuate rather a lot. It is determined by what service and API you are utilizing as to the right way to greatest place such an order spanning costs.
For Cryptsy you’ll place such a purchase order as only one order of 650LTC at 8BTC. Crypsty robotically chooses the perfect value for you, so you’ll have this impact. Nevertheless, it isn’t assured to work this fashion. When you obtained the order listing, and somebody was to purchase up 50BTC at 6BTC, then your anticipated value would find yourself being mistaken. If you would like a value assure, it is best to place precise matching orders to the order ebook. Following this methodology although, you’ve got a excessive likelyhood of an order not finishing as effectively, or taking longer than anticipated, similar to in the event you purchase 100LTC at 6BTC, however somebody purchased 50LTC already. Crypsty by default would wait some time earlier than finishing the partial order. (assuming no different promote orders had been positioned at that value)
It is really a extremely easy idea, but it surely took me a couple of days to truly wrap my head round it for some purpose. Hopefully if different individuals have the identical downside, perhaps this put up will clear issues up for them
