Any deviation from this true price is quickly exploited by informed traders who attempt to optimize their returns and it restores
the true equilibrium price.
Not exact matches
There is a belief in
equilibrium prices, i.e., there exists an efficient market whose
pricing represents a
true valuation
price which will change only as the market obtains and digests new information.
Many academics and money managers seem to be staking their careers and livelihoods on continuing to stress the basic tenets of the EMH: there exists a unitary
true value, and there exists a universal
price equilibrium.
Finding
Equilibrium: Searching for the
true value of a Bitcoin Vinny Lingham, CEO and co-founder of Gyft, wrote an interesting take on the state of Bitcoin, and why current
prices are lower than they were just a few months ago.