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Who Sets The Prices For All Coin Values.

How are coin values set on each coin in the hobby. I just bought a 1909 $20 Saint Gaulden Gold Coin Pcgs ms 61 for $950.00 now I think that was a great deal, but that coin seems to be worth less than a 2006 $50 Buffalo Pcgs Ms 70 Gold coin. Now explain to me why and how is the coin value chart made. Thanks and again sorry for pissing off anyone in my last thread on first strikes. I thought this was a place to learn and vent.

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    BBNBBN Posts: 3,761 ✭✭✭
    demand sets the price. Everyone's hot after the buffalos in high grades. MS61 Saint is pretty much generic gold.

    Positive BST Transactions (buyers and sellers): wondercoin, blu62vette, BAJJERFAN, privatecoin, blu62vette, AlanLastufka, privatecoin

    #1 1951 Bowman Los Angeles Rams Team Set
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    roadrunnerroadrunner Posts: 28,374 ✭✭✭✭✭
    The FED sets the price of gold.....hence the MS61 saint. image

    Or.....at least they think they do (lol).

    roadrunner
    Barbarous Relic No More, LSCC -GoldSeek--shadow stats--SafeHaven--321gold
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    Apparently not YaHa image
    Never teach a pig to sing. You'll waste your time and annoy the pig image

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    ttownttown Posts: 4,472 ✭✭✭


    << <i>I thought there could only be one clear answer for this question, who knows more than anyone else, who spends more time on this stuff than anyone else,,,,,,,,,,,the answer is clearly the all knowledgeable one......Russ. >>



    Russ? I always wait for him to sell so I can get ready for the bounce in the silver market. I run to my saftly deposit box and grab my coins!image
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    The market sets the price via supply and demand. So it is all the individuals wanting to buy or sell that set the price. Traditional economics is that as price goes up demand goes down, and vice-versa. However, as the recent study for amateur wine drinkers shows, raising the price can have the effect of raising demand.

    So it sometimes is with coins. When certain coins are cheap, no one wants them, but when prices start going up, more people become interested. It is herd behavior and very common in the investment world, and other hobbies. Taken to extremes, is what makes for bubbles and panics. When the trend goes so far as to become absurd, it often continues longer so the buyers at absurdly high prices convince themselves that there is no downside. When enough are convinced, the bubble pops and prices tumble, often going far below what the supply/demand curve might indicate.


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