35 votes

Update: Bitcoin loses 50%, what next?; Trading Halted

Is this another flash crash versus a true pump-and-dump?
Trading halted for upgrades 4/11/2013 11:16:
http://www.zerohedge.com/news/2013-04-11/bitcoin-halted
ZeroHedge: BitCrash Continues: Down 40% And Dumping | 4-10-13
Update - see new chart at link -50%

http://www.zerohedge.com/sites/default/files/images/user5/im...

Time to rename it BitCrash... or will it stage an amazing recovery? Alas, for this particular bubble, there are no NYSE circuit breakers nor is there a Federal Reserve-mandated "plunge protection team." And why should there be? The central banks hate all currency alternatives. Firehats: on, especially since the volume is still relatively light.

See second chart at:
http://www.zerohedge.com/news/2013-04-10/bitcrash-continues-...



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Bitcoin is far from over.

I wrote this book, but it will explain the fundamentals of bitcoin and why you should at least hope it succeeds.

http://www.amazon.com/dp/B00CAX5OZQ/ref=as_li_tf_til?tag=suc...

www.SuccessCouncil.com
Protect your assets and profit from the greatest wealth transfer in history.

bitcoin exchange prices in the 60's...

http://bitcoincharts.com/markets/currency/USD.html

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~wobbles but doesn't fall down~

50's

.

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~wobbles but doesn't fall down~

G. Edward Griffin's (The Creature From Jekyll Island) take on

bitcoins.

REPLY FROM GEG:
Hello Don.
I like Bitcoins and I think they probably will make some pretty good money for those who buy them early. However, be aware that, unlike gold or silver, they are intangible and exist only on the Internet. If the Internet fails or is taken over by forces that are hostile to Bitcoins, they could cease to function. I suggest that people consider them as a speculative investment and not risk their nest egg on them.

Reminder: Money can be made on gold and silver, too, although the Bitcoin price could skyrocket (and plummet), whereas bullion probably will more closely approximate the pace of inflation.

The individual has always had to struggle to keep from being overwhelmed by the tribe. If you try it, you will be lonely often, and sometimes frightened. But no price is too high to pay for the privilege of owning yourself.
Friedrich Nietzsche

April Fools!

:>

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~wobbles but doesn't fall down~

Dont worry my little bitcoin pixies.

What nobody wants to talking about was how the GOLD bugs got clobbered today. Gold is due for a major correction. I pretty much listen to what that hedge fund fraud of joke of a broker as Peter Schitz says and then do guite the opposite. Because Peter Schuiff is always WRONG.

...

...

ChristianAnarchist's picture

Mtgox is offline again... :(

Mtgox is offline again... :(

Beware the cult of "government"...

They are currently under DDoS

They are currently under DDoS attack.

Hmm...

their entire website is unresponsive. Usually when the trading goes down the website is still accessible. :\

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~wobbles but doesn't fall down~

MtGox is back online...

it appears. With an exchange price of approx. $96.

http://bitcoincharts.com/markets/currency/USD.html

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~wobbles but doesn't fall down~

Over at BTC-e Bitcoin is

Over at BTC-e Bitcoin is gaining 100% and then dropping 50% every hour.

$hitCoin

I'm starting a new digital currency—$-hitCoin.
Everyone welcome, though I only accept silver and gold as trade for $-hitCoin.
Anybody wanna get in on the ground floor of the virtual Ponzi scheme before it goes in the toilet?

Apparently it is now quite

Apparently it is now quite possible that Goldman Sachs holds Bitcoins.

http://arstechnica.com/business/2013/04/taming-the-bubble-in...

Even if this speculation isn't true, with volatility and returns BTC has been generating, involvement by larger money has been all but assured. Once big money gets in, volatility fades, large returns diminish.

I would imagine...

that Goldman-Sux people would have bought in big and early years ago. Why wouldn't they? The Wall Street banks have the largest armies of networked financial transaction programmers in the world bar none.

And I would fully expect them to have developed control interfaces to manipulate bitcoin long ago also. It's what they do. And nobody anywhere does it better than them. They developed the high-frequency trading software that does lightning fast trades (many per second) to skim off micro-profits.

I'm convinced they are in control of the half-dozen unnatural flash-crash/flash-recoveries that have occurred in the past weeks. Highly-controlled rapid repeated pump-and-dumps. Why wouldn't they do it? Easy money with no chance of prosecution. A handful of banking execs could have rounded up a handful of their network transaction engineers and worked it out as a hobby over drinks after work.

Again, why wouldn't they have done it? I think it's more unlikely for them to NOT be manipulating bitcoin and to not have been prepared to do so long ago...

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~wobbles but doesn't fall down~

Nothing last for ever...except gold and silver.

.

Bit Coins are only getting stronger:

It was only a week ago that we were in awe of the price being at 100$. We are back at that price today. This readjustment of the price has to do with exchange companies playing catch up with increasing demand.

They wont be this cheap for long...

"We’ve moved beyond the Mises textbook. We’re running in the open market." - Erik Voorhees

A process of price discovery:

As the naysayers continue their rants, I would like to say that there will be many more run ups, followed by subsequent corrections.

The process of price discovery is very complex. Even publicly traded companies, where information is widely available, go through this complex process of price discovery.

Bitcoin, as a new asset class is going to be subject to even greater volatility; We should all expect this.

Bit Coin is FAR from over...

"We’ve moved beyond the Mises textbook. We’re running in the open market." - Erik Voorhees

Bit coins are not going anywhere:

http://www.businessinsider.com/quantum-computers-and-bitcoin...

"We’ve moved beyond the Mises textbook. We’re running in the open market." - Erik Voorhees

The code can be updated to

The code can be updated to make them quantum computer proof. Besides, there aren't really any quantum computers yet.

ObiWanKenobiCoin

"If you strike me down, I shall become more powerful than you can possibly imagine."

Author of Shades of Thomas Paine, a common sense blog with a Libertarian slant.

http://shadesofthomaspaine.blogexec.com

Also author of Stick it to the Man!

http://www.amazon.com/Stick-Man-Richard-Moyer/dp/1484036417

true

true

"We’ve moved beyond the Mises textbook. We’re running in the open market." - Erik Voorhees

I could not imagine the

I could not imagine the forces working against the success of Bitcoin or any competing currency

The only forces working against bitcoin...

...are market forces: which are revealing that there was a gigantic speculative bubble, which has now burst.

"Alas! I believe in the virtue of birds. And it only takes a feather for me to die laughing."

yup. i have no idea how

yup. i have no idea how anyone can value a bitcoin anyway. it appears to be a currency with very little actual demand for its services as such, but subject to all the swings of a speculative asset bubble. i understand the desire for people to speculate in bitcoin; i can't imagine anyone using it as an actual long term medium of exchange or store of value. i can see accepting bitcoins at a massive discount (does that even make sense?) to their value..... i guess in terms of a currency, that would mean raising prices for things in terms of bitcoin in response to its fluctuation vs the dollar. but i imagine a lot of people accept bitcoin because they feel it will increase their overall income, not to replace existing cash income. like someone with a donations page will say "we also accept bitcoin donations." are there any bitcoin only merchants that would contradict that idea? i still don't fully understand the real day to day market for bitcoin and what kinds of demand there are for it. perhaps there is no data on this... i guess the bitcoiners are pioneers, though. at least the ones who aren't suckers.

It is valued because it is

It is valued because it is going to create a new economy and make things possible that aren't today possible.

yeah sure thats why people r

yeah sure thats why people r buying bitcoins and then selling them to promote social change. good answer.

Bitcoin..

is Jesus!! Just have to wait for bitcoins 2nd coming! :o

Bitcoin will wipe away all tears, and there will be no disease or war anymore! Peace be unto Bitcoin! :p

The Church of Satoshi and the Latter Day Coins

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~wobbles but doesn't fall down~

I like the bitcoin idea, but this is a tulip mania bubble

Not many people are using bitcoin as a medium of exchange, it is all speculation. It is a good idea in theory if it can catch on as a currency alternative. Despite all the talk, it is not a currency alternative right now and may never be.

We all want progress, but if you're on the wrong road, progress means doing an about-turn and walking back to the right road; in that case, the man who turns back soonest is the most progressive.

-C. S. Lewis