Not trusting Gox is different than not trusting exchanges in general.

LOL @ predicting a $.01 price.

You are right there needs to be a better way to do this. Fortunately, there is a way. http://bitcoinism.blogspot.com/2013/...plague-of.html

Watching that Andreas live stream, they make a good point. Majority of people that held coins or fiat on MT Gox probably knew the risks associated with that and were just trying to take advantage of the arbitrage opportunities. I would think anyone who was long term on bitcoin wouldn't leave all their coins on an exchange.

Many people leave coins on for trading or laziness. I think people misunderstood the risks greatly when dealing with clown operations like Gox. Hell, even Andreas was saying as recently as a few days ago that he thought the coins were there and just would take time to get out once they fixed issues, and he's been one of their biggest critics.

There are going to be a lot of people hurt by this, and I would not be surprised if a few people offed themselves due to the losses. It's pretty sad. People should have known better, but when you constantly exist in a rubber room, and finally get exposed to reality, people take a while to adjust.

Really confused by the last 24 hours. I can't believe the price is back up in the high 500's. I really expected it to stay in the low 400's and maybe even high 300's on news that Gox is dead. Seems like there are lots of buyers at these levels. Does that reflect the hard-core holders of bitcoins?

What am I missing? What would make the price shoot down to the 300's or 400's again?

The former us treasury secretary being positive about bitcoin probably helped it.

You're missing that Gox being dead isn't surprising in the least to people who have been paying attention to the situation. The news was priced in a long time ago, imo.

So - most of the holders of the coins are well informed on current events and situate themselves appropriately? So the typical BTC holder is very different from a typical stock holder, etc.

theres a pretty good chance we may not see sub 500 coins again.

whats happened has happened many times before. we go up too much too fast and it freaks people out. some events cause the sails to tip and we go back to the 200 day sma. exchanges, forums, and in this case, bitcoin itself was ddos'd and people freak out. the lol bitcoin's dead crowd tries to come out. yet the price is still >500% from 6 months ago.

anyway, its ok to take some profits, especially if you are unsure of what you are investing in.

the cheap coins people speak of are hard to get. you need money on the exchanges waiting and the understanding that this is the time to get them. these are the dips.

A flaw in the protocol or the concrete confirmation that some super hacker is actually sitting on 1/16 of all bitcoins which he stole over a period of years without anyone noticing.

I did too.

But I watched massive sell walls get eaten alive in under 20s. I'm talking over 10x walls at $415-440 of over 50k USD. I wanted to wait until today to buy some, thinking we'd see $300 when everyone woke up in the morning and panic sold.

if you gave any college freshmen with a half decent understanding of coding an explanation of how transaction malleability works, I am reasonably certain that over 90% of then would be able to execute building a node, a script, and start siphoning bitcoins off of gox within a week.

I wouldn't say bitcoin holders and stock holders are any different, every person has their different style of trading they prefer, watching it drop to 400 on gox closing down was laughable and was market stupidity in action

As a person who plays in both markets I've never sold during stages of panic and never plan to I had several of my bid orders get filled during yesterday's panic and have overall been making out like a champion during these downswings

Its still hard to tell whether or not the rallies are to be sold on but now that the gox cancer is gone it might be enough reason to bring the market back to 700 800 prior to all this goxing

Still am sticking to my predicitioins of 2k or higher before the year ends

Funny post from reddit:

How early adopters feel right now after the price went from $400 to $600 in a matter of hours

regarding the bolded: their just saying Gox's software made the bug easier to exploit, but the actual exploitable bug is in the BTC system.

does anyone have information/explanation about this?

Would not an obvious improvement be a system whereby even if you have the BC or whatever with a third party, you still control it. Cant see how that would be that hard to implement.

this system is in-place. pretty sure blockchain.info offers client-side key-management solutions

What would be the major implications of this?

I would personally be concerned that a criminal is now in possession of so many bitcoins. It also seems possible that this information could be used by opponents of bitcoin to help pass anti bitcoin legislation. Maybe it's not that big of a deal, I don't really know. I would be concerned about it personally.

I wonder how much the fact that its much harder to go bitcoin->cash than cash->bitcoin effects the price, that and its hard to effectively go short on BC.

It's much easier to turn bitcoins into cash than it is to turn cash into bitcoin.

You can short bitcoin on bitfinex.

You can turn the BC into cash on an exchange, then getting that cash into your account is another story. Maybe my experience was isolated but reading about it no so much. Once I was set up with an exchange getting the BC was easy. Worth pointing out that my native currency is £.

Pretty sure if I wanted to buy 1000 BCs in $ and then sell them in £ the second part of that process would be much harder.

Yea one exchange in beta allows you to short. There is another also, that only allows deposits in BC.

There would be a huge supply of bitcoin for sale. I mean really, if you had 750k BTC you stole, would you plan on holding for years? You would most likely unload at a gradual pace (or maybe even a fast one) thus applying a huge overhead pressure on the price of BTC.

Why would you want to cause massive downward pressure on an asset you have a lot of?

Makes more sense for a criminal to do it slowly. Makes is less likely to be caught. To do it quickly requires an exchange account. Exchanges have personal information. This greatly increases chances of being caught.

Will we be able to know which bitcoins were stolen so their usage can be tracked?

You are missing that the main reason for the price dip in the last few days was arb traders who were buying on Gox, selling to bagholders on Bitcoinbuilder, then selling on Stamp to drop the price.

That stopped, the downward pressure without any regard to price dropped.

https://www.crypto-trade.com/maintenance