Once it crashes, I would like to see how high it can go. It's basically about the forces. It will require a lot more power to go up. Bulls must be stronger than the bears. Immense buying force will be required. I think if it goes down, it won't have the force to go to 1,000 $ again (where it was in late 2013). Bitcoin, Litecoin are struggling like fish out on the beach.
Wouldn't this failure be like a Bank Run - in that the safe exchanges will be emptied by people assuming the 'fiat' (in this case bitcoin) is about to revert to zero value? (since Mt Gox appears to be a 'big' bank and the equivalent of a Lehman Bros) Reading that article there was reference to a fellow trying to extract 'an eye watering' amount of fiat currency for his bitcoin. Presumably he will be attempting to deposit that to other exchanges and withdraw fiat immediately. I agree it's a fascinating invention but I believe it is one that the governments will not allow to continue beyond a certain point when they will institute their own version. Personally I'd rather risk gold confiscation.
Gold has little to do with crypto currencies, IMO. I regard my gold as a 'safe haven' type store of wealth but almost useless for the many trades I perform in my daily life. Bitcoin has brought about a revolutionary digital payment network - Push (Bitcoin) vs Pull (Credit cards). Bitcoin has a whole lot to do with other digital currencies like PayPal, Western Union Visa and Master card. Only fools keep large amounts of cryptocurrencies in an exchange. Bitcoin was developed to take out the middle man. Don't trust others with your currency (no banks). Trusting MtGox with ones bitcoins is antithetical to Bitcoin's roots. Bitcoin has enemies everywhere, even within the alt coin cryptocurrency realms now as new coins enthusiasts want to replicate bitcoins path and gain similar profit profiles. I would not advise people to treat cryptocurrencies as a safe haven for their monies.
It's amusing to see all the comments by people who have never owned nor used any bitcoins and yet who seem to somehow be enlightened about cryptos although they had not heard about it prior to this last run up. These same people don't realise others were saying the exact same thing when bitcoin was $30, and under $100 and then again after the crash from $250+ and it has been this way since the beginning. With all their expertise I wonder why they don't get into trading it (short or long), seems like they would make a killing.
Gox runs custom wallet software. this software may of unintentionally 'double spent' customer BTC withdrawals (see http://www.reddit.com/user/nullc). By locking customers into a trading arena over the weekend, Gox has become blood bath as the price crashes not just on Gox, but on all exchanges. Now Gox could buy any lost, double spent coins at a lower price with their 'excess' of fiat, This would fix any deficit they may of had from the double spend issue. Bare in mind the price would have to roughly halve from it's highs ($1242) on Gox to collect enough coins to meet this 'demand', hence we may of not yet seen the end of this.
My BTC balance I attempted to withdraw about 9 days ago has just been returned to my account. Rarely have more than 10% of my holdings on any one exchange, just whatever was needed for arbitrage trading. Always expected to lose some BTC on an exchange one day - funnily enough I thought it would be on Cryptsy or BTC-e first. Now I just need to wait for them to re-enable withdrawals.
And wait... and Wait.... and Wait....Goxed like a lot of other people. It's a shame the actual Currency/Crypto/Alt whatever is being tainted by the issue's people are having with one singular exchange with the primary crypto currency. At the same time though Gox has always carried BTC at an inflated price compared to all other exchanges for reasons you alluded to in a recent post here. Maybe once all the Gox issues are dead and buried and a rational value based upon actual realization across the remaining exchanges is achieved we will see the price of BTC climb again well above that of recent times. Even with the current volatility it is still well above the levels of 12 months ago. Hard to see it die at all considering every exchange worldwide at the moment use's BTC as a measure of every other Alt in existence.
Did the romans destroy Gold when the debased their coinage with copper? Whatever happens on Gox, this won't be the end of Bitcoin. Sometimes the market just needs to 'find' the news it needs to harmonise within it's natural cycle. Source:https://www.tradingview.com/v/G8hONsXH/ Source:https://www.tradingview.com/i/3qJCpvjH Source:https://www.tradingview.com/v/bC5CK1fs/ I think we will see Bitcoin trade between $400 - $600 before it makes it's next major move upwards, perhaps sometime between April and July 2014. In the meantime the market will find the news to justify these movements.
The fact that they aren't making a decent effort to reassure everyone that they are solvent is worrying. they have previously been able to prove their solvency by moving a big chunk of coins around, but they say that they can't do it this time?
Well... I expected this news to cause the price to plummet to be honest, I didn't expect to see Bitcoin trading at the same kind of level. Sure, if Mt Gox announce their insolvency it'd mean big losses - but if they don't, might see a price rise. Now deciding whether to keep in Litecoin or GTFO.
I'm sure there are a few stackers here with validated accounts who would be willing to help members get their coins out (if mt gox doesn't go broke) if needed. Myself included so long as you are a member in good standing, not just some random person who created an account yesterday.
Looks like a bit of panic on Gox at moment because they said they'd release a statement by Thursday.... and it's 4.30pm on Thursday in Tokyo....
It's like watching something die. Ah so sad. How are the other exchanges doing? Seems to be trending lower.
Old news. 12 Feb A second bitcoin exchange halted customer withdrawals on Tuesday as concerns about a software problem affecting the virtual currency's infrastructure spread through the nascent industry. Slovenia-based Bitstamp said on its website that a denial-of-service attack had triggered "inconsistent results" in its virtual wallet that holds bitcoin for its customers. "As such, bitcoin withdrawal processing will be suspended temporarily. http://www.balkans.com/open-news.php?uniquenumber=188763
in the final death throes before announcing their default. sorry for people who still have fiat or btc tied up there.
Mt. Gox really should change their home page: "Trade with confidence on the world's largest Bitcoin exchange!" :lol:
