Take BTC amount of each tx
Divide $100 by all amounts
Now you have USD/btc, and there will be a cluster at the price people used to send exactly $100
Then divide $50 by all amounts
Divide all common round usd amounts by all BTC amounts
Overlay on top of each other
The price emerges
Nice!
I am trying to understand the logic. For example, if there is only one transaction in the mempool and it is for 23 bitcoin, you $100/23 =$4.35 ? Then $50/23 =$2.17 …I am trying to follow. Is there an explainer somewhere?
Yes. It doesn’t work for one transaction. You have to do it for alll transactions and see where the cluster forms
There are 1000x more transactions at exactly $100 and $50 than there are at any other random amount
