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BitCrash Continues: Down 40% And Dumping
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 lite.
Update: -50%
More from Tech Chrunch:
Bitcoin is undergoing a classic correction after quintupling in price over the past 30 days. The currency, which was trading as high as $265 earlier today on Mt. Gox, plummeted and is now trading at around $150.
We’ve reached out to one of the biggest exchanges, Mt. Gox, to see what happened. But another San Francisco-based exchange called TradeHill is saying that the crypto-currency is falling because of apparent distributed denial of service attacks on Mt. Gox and Bitstamp. A denial of service attack happens when an attacker overwhelms a target with external requests, so that it can’t honor regular requests from legitimate users.
This also happened last week when Mt. Gox when Bitcoin reached $142 and hackers attacked the exchange. At that point, Mt. Gox said it had suffered ”its worst trading lag ever.”
The Tokyo-based exchange said last week that hackers are engaging in a strategy to manipulate the price of the currency: “Attackers wait until the price of Bitcoins reaches a certain value, sell, destabilize the exchange, wait for everybody to panic-sell their Bitcoins, wait for the price to drop to a certain amount, then stop the attack and start buying as much as they can. Repeat this two or three times like we saw over the past few days and they profit.”
It looks like this may be happening again. Aside from that, any kind of 400% increase over 30 days is probably unsustainable from a technical point of view. A correction at this point would be healthy and natural.
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Mt Gox seems to be operating normally, the charts there are showing trades on Mt Gox. It is, however, concerning how a currency whose strength is decentralization, is so highly dependant on a single central exchange for price discovery.
Correct, because GS, JPM, The Federal Reserve can take out a much larger position than you or I ...
"Correct, because GS, JPM, The Federal Reserve can take out a much larger position than you or I ..."
That may not be for long though:
http://dailybail.com/home/nyt-jpmorgan-faces-multiple-criminal-investiga...
Kinda scary in a sense. These babylonians might rather pull the false flag event string, rather than testify in a court about their horrendous amounts of real criminality. They do after all own all the leader puppets. Just like those who violate the basic constitutional Law of the the Land and forget, that the sheriff and his posse is still the worlds largest armed army. NOW HERE THAT all babylonians.
Also, do not forget that your tracks lead back to your homes and ALL CRIMINALS will be routed out and harshly punished with good cause. This is a spiritual war and it has already been won by the good world. Those who cling to the old useless worn out materialistic paradigm of murder and reckless law breaking for pay and profit, will suffer in extreme example ways. The Law is the Law and no color of law can replace that truth. The double-edged Sword of Truth and Justice shall be wielded by many still not revealed. It is the way of righteousness to not strike until these evil things have made it absolutely necessary. The world will not tolerate any more thuggery, or innocents being murdered with high-tech-weaponry that they are forced to pay TAXES for. The time of the first babylonian idiot pulling the first trigger is coming close. When the babylonians start it, the worlds people will finish it. As the old Knight said, choose wisely the cup you drink your life giving waters from.
The reality is; you can take the light into the light. And, you can take the light into the darkness. You can NOT!...take the darkness into the Light.
Babylon’s attempt to rule this 3-D world is like holding up a candle to the people and telling them it is brighter than the Sun is.
Go figure.
So Jesus is gonna ride in on his dinosaur and save us like the Lone Ranger?
I'm relieved.
Exactly, wake me when some heads actually roll or one of these fucks actually goes to a "pound me in the ass" prison.
@LOP
~~~
The reason I wake up every day & smile is because I realize... THOSE are the people who are really in prison... Me? I just sit back here... grow a little food, do some chores, nobody really bothers me much... Life ain't all that bad...
That is the way to keep sane in this insane world.
Owe the banks $22k, it's your problem. Owe the banks $2,222k, that's their problem.
Banks got lots of problems these days . . .
So did the Bernanke run this BTC up and then start the waterfall so the media would get in on the act and get all the media hype to only watch the PLUNGE.
A great way to discredit it with out much effort and wouldn't cost that much from the FED perspective...
Just wondering out loud.
DaddyO
My thoughts exactly. It needs to be stable to have any chance at anything other than speculation or a vehicle for quick transfers. This should kill any chance of that for a while.
Bernanke grabbed baby bitcoin, threw up in the air 10 feet and then stepped back.
Granite floor. Auger in.
Many sold bitcoin earlier this week to buy physical. Goldman Sachs now doing the same. They (and the Fed) can take out a much larger bitcoin position than you or I (What, did you forget that they have access to computers and unlimited capital?)
Step 1: Sow distrust in the traditional banking system (Cyprus)
Step 2: Discredit decentralized electronic currency (crash bitcoin)
Step 3: Do something that'll really incite bank runs (still waiting on this one)
Step 4: Make the case that electronic currency — when controlled by government — is safe, stable, and impervious to bank runs
Step 5: Herd the sheep into their new electronic form of slavery
The supply lines will break just the same and the world will go to war. History is very clear on this. Long black markets and sharecropping.
I'm already gathering goods for barter, LOP.
Goods related to any vice whatsoever will do best.
McMolotov has nailed it. Sounds like the mark of the beast to me...gov-controlled electronic-only fiat. I shudder.
Welcome to the real party.
Hint: Look up Square & Starbucks.
Step 6: Exert maximum control on the sheep and herd the unrulians into FEMA camps for re-education/slaughter
DaddyO
Step 7: Soylent unrulians?
US 'american' unrulianism is the mattering thing.
Very crusty, very much something.
Make me laugh!
Arrgghhh...
Soylent Unrulians...+1000
It's a damn shame that the BTC has generated all the hype. it could truly be the right mechanism under different circumstances.
As long as the CB's are in control, you will see this type of treatment to anything that threatens the Status Quo.
Ultimately, the CB's will introduce their own world wide digital currency, under their direct supervision, and with all the requisite tax hooks in place.
Until then this is the expected course of events...
DaddyO
WOW that was really fast! from $260 to $160
Sheep are fucked no matter what, all they can hope for is benevolence. You'll see a full out revolt and possible secession depending how crazy shit gets. Would you prefer a bunch of kids sitting in front of the Marriner Eccles building screaming fuck you Bernanke or would you rather someone try and go at them where it hurts the most. Just wait until Obamacare really kicks in.
I actually quite enjoy this laissez faire roller coaster. Given daily swings a fraction of this on the NYSE, and the exchange would be sealed shut.
I guess you could say NYSE are a bunch of pussies in this regard.
BitSlapped.
No doubt.
Welcome to the free market, bitchez.
"Free market?" - sounds more like a casino where there simply is no "house". Still, better than a casino where the house always wins I guess.
That's what a free market is. No house.
Not quite. A casino is a casino playing games with chips/bits you purchase. Whereas a market implies free and fair price discovery and fucking accountability for bad behavior. Because it takes real work to mine/refine gold bullion, the accountability is inherent in the gold itself. How hard is it to create a "bit" again?
Mining either gold or bitcoin requires capital investment, and both are extremely risky. I don't see how they are really that different in that respect. The things that make gold a good money are also things that make bitcoin a good money.
Also, how is there not "free and fair price discovery" or "accountability" with bitcoin?
LMFAO!!! So tell us, how many bitcoin miners have been killed this year? Fucking morons. Yeah, it's exactly the same. Get the fuck out of the basement kid, it's a big world out there.
Physical danger in acquisition is what makes something a good currency?
Pay attention. (nice avoidance of the question by the way).
Something that cannot be conjoured up with a few keystrokes, something that is relatively inert (does not rust, corrode, etc), something that is difficult to physically come by but that has a very real utility will always be a safe store of value. In addition to their monetary use for some 6,000 years, refined silver and gold bullion require real work and have industrial utility.
Wake up, what is currency used for? It is used to exchange for the labor (or work) of another. Again, how much real work is required to create the "bit". This represents the true value.
Straw man. Bitcoin isn't made by "creating bits", or whatever you think that means. Bitcoins are defined by mathematics, the "bits" are just the implementation.
Bitcoins can't be created at all, only discovered. There is a hard upper limit on the total number.
Gold & Silver can't be created at all, only discovered.
There is a hard upper limit on the total number.
"Gold & Silver can't be created at all, only discovered." - correct, they also have to be extracted and the ore has to be processed. Moreover, both have an industrial utility.
"Bitcoins can't be created at all, only discovered. There is a hard upper limit on the total number." -
LMFAO!!! Right, because we could never bring more computers online. Keep ignoring the industrial utility and bartering value of PMs. Look douchebag, if you are exchanging fiat for bitcoins it should be pretty clear what their intrinsic value is. Full disclosure; I closed a bitcoin position last friday to purchase more silver. So yes, bitcoin had great utility. But to pretend there is no risk just makes you look stupid. keep your bits, I'll keep accumulating physical assets of real value, by any means necessary.
"Right, because we could never bring more computers online."
The number of computers online has nothing to do with the total number of coins.
If you can "conjure bitcoins up with a few keystrokes", then I would recommend doing it. You could make a killing @ $130 each.
Additionally, currency acts as a unit of account for work accomplished, but that doesn't require that the currency itself have any physical labor behind it at all. If I raise chickens and you raise pigs, we can trade directly, or I can sell my chickens for currency and use that to buy your pigs. All you really need is the total currency in the system to be fixed.
Bullshit. When push comes to shove I don't need the internet or power to raise those pigs and chickens (and we have both).
Isn't the market determining the value of BTC ? Your original comment seems to imply there must be a controlling entity to facilitate a market. The market or "market forces" set the value of everything. The market can not be controlled indefinately.
Never said the market could be controlled. Simply saying that bitcoin is not and will never be a safe store of value, like physical PM's.
Sure looks like you were questioning the reality of the market determining the BTC price.
I wouldn't say "never". If the bitcoin economy, for example, were to grow to the point where a majority of people traded exclusively in BTC (and therefore the exchange rate with the USD was irrelevant), then it will be an excellent store of value.
But yeah, right now it's a speculative roller-coaster of epic proportions.
Right, because you can never see a situtation where you would not be able to access your bits? Not a very creative thinker are you? What are you a banker?
A Mad Max-style scenario where there is no internet or electricity would do it, but in such a situation I'd probably rather have a stockpile of lead than silver/gold anyway. Anything less than that, and bitcoin holds up pretty well. Since the block chain is public, bitcoin is actually very resilient. As long as one copy of the blockchain remains anywhere in the world, you can rebuild the whole system.
And don't forget that the physicality of PMs is a strength, but it can also be a weakness. Government goons can confiscate gold. With bitcoin, since you only need to know a public/private key to get to your funds, it's actually possible to essentially keep the keys to your account in your head and nowhere else. That's pretty unique.
Pros/Cons. I recommend holding some of each.
Gold, Silver, lead and brass. The intrinsic value of one insuring the other.
Full disclosure; I closed a bitcoin position last friday to purchase some more silver eagles. Never said bitcoin was useless, but if you are purchasing bitcoins with fiat then it's pretty fucking clear their intrinsic value is the same.
As far as a mad-max world goes, fucking toothpaste or a can of beans with make you "rich".
"if you are purchasing bitcoins with fiat then it's pretty fucking clear their intrinsic value is the same"
Odd logic. I purchase silver and gold with fiat. Does that mean they all have the same "intrinsic value"?
(Actually, it does, because intrinsic value does not exist. But I assume you think it does or you wouldn't have brought it up.)
Of course it can. Bitcoin has social value, which is all any tradable commodity can ever have. Gold isn't an intrinsic store of value, it's just a bunch of useless molecules. The value only exists in its tradability, exactly like bitcoins.
"The value only exists in its tradability, exactly like bitcoins." - LMFAO!!
Gold has numerous industrial applications moron. Shit, there's several pounds of silver in every tomahawk missle. Wow, beyond ignorant.
If you play poker the house gets a fixed dealers fee, and you can use experience anbd common sense to make good or bad descisions.
If you play roulette in that same house, you are hoping for the best, powerless to control the spinning wheel.
I thought there will be a rebound in any second now .....
lol
since it is as good as or better than gold and silver it cant go to zero.....
and with fiat at least i can start a fire or keep warm or take notes....
i just dont know what to do with these bitcoins that i have ,that are worthless and invisible...
BitCoins also have many industrial uses, if you smelt them down into their constituent 1s and 0s.
That's true! There's enough bytes in one bitcoin to write a really good novel with.
But the crucial question is, can you eat them?
Methinks many of the BitCoin cheerleaders here in our ZH comments the last few weeks...
will now be silent, or changing to another Username to protect the gullible guilty - themselves!
Pump and dump, easieast money there is!
Youthinks wrong, and you never understood the real value of bitcoin.
it's not about the speculation or whether it goes up or down.
it's about havin a way to move money outside the control, observation, and regulation of governments.
i will continue to be glad that bitcoin is around, regardless of whether it's trading at $10 or $10,000.
Hey, I'm all for havin a way to move money outside the control, observation, and regulation of governments.
but this concept, of tying it's existence to the Internet, which is controlled by the gov't, is just plain assinine.
Revive FidoNet over cells phones is one alternative. What are going to do then dial every fucking cell phone number in the USA nonstop? There are always workarounds. You also have wireless mess networks one can do locally with other like minded individuals. They are all the rage down in Mexico right now. One way or the other decentralized currency is here to stay.
Somebody needs to invent CarrierPidgeonCoin.
The Internet is not controlled by the government. DNS servers are. There's a significant difference.
Can't be bothered to argue about cryptography here, because if you haven't understood it thus far, you never will.
One word...
Stuxnet
Yes, I am absolutely mortified that my bitcoins are now only worth what they were worth last week.
Just in time to buy bitocins on 1:100 leverage
...
+1
-1
Dead cat bounce back up to 205, then trounced back down to 150...
http://www.bitcoinbullbear.com/
VWAP is 230-ish. Surely...
Gox showing 142USD last and lowest...
Learned it at the Carol Burnette school of facial displasia.
This has to be the most predictable market crash in history.
What remains to be seen is where it bottoms out...
Yeah, most predictable crash ever.
I used to think boom-and-bust was embedded in our flawed economic systems, with exponential debt driving associated asset bubbles.
Now I realize boom-and-bust is a feature of humans, it's part of us. People just can't resist the quick money con, so there will always be quick money schemes.
Funny, all of a sudden there's articles about bitcoin everywhere in the corporate press followed immediately by a crash.
Willing to bet that the Fed & ECB, hell maybe even the WH gave those marching orders. If BTC completely collapses, now the MSM can say "See? We told you so. Leave money to central banksters."
Looks like a total coincidence to me. /sarc
No! Noooooo! My precious!
http://deutschelobby.files.wordpress.com/2013/04/my_precious_bitcoin.jpg
honest question to any bitcoiners.....how long would it take to get out of your position?..
eeeeeeeeeeeeeeeeeeeeeeee......... Lesson here....DONT OWN PHYSICAL GOLD!!!
Huh?!?
DaddyO
hehehehe.......sorry....shoulda guess tha sarcasm didn't translate.........hehehhehehee.......
Ctrl+Alt+Del
Try that with your GOLD, bitches......
A click of a button...
At the present rate of descent, they will be in the fetal position for a long time !!!
Serious question for ZHers.
A fully digital currency has long been the goal of TPTB. Bitcoin is precisely that absent central banking oversight. Not saying this is the case, but COULD bitcoin be a CIA monetary false flag? Just think about it. We have no idea who the actual creator is. The only difference between BTC and any other currency is the fact that CBers don't have their hands on it. If a "free" alternative to CB fiat completely collapses, what's preventing TPTB from offering a "safer" and "better" solution?
Problem-reaction-solution.
Guess if Bitcoin recovers and stabilizes that theory is completely bogus. However, if Bitcoin completely falls apart, seems plausible.
I'll take Sweden for 2 or 3 bitcoin..
(sweden want to go all digital, less robbery, more fraud, go figure)
That because most small businesses prefer cash transaction to avoid taxes. No receipts, no record anywhere, never become bank deposits.
Shhhh!
Secret.
Don't worry, nobody knows anything about it.
Ask the Italians......
And this euro is going to work right, right?
edit
.....and the dutch, are good a tax deductions to
Yep, see my comment above. Whether bitcoin is some kind of government-spawned creation or not, this crash would certainly prove useful for making the sheep doubt a decentralized electronic currency. Throw in widespread bank runs and TPTB would point to the fact that bank runs are virtually (pun intended) impossible with a digital monetary system under a centralized authority.
Both of you fail to address the fact that Bitcoin is Open Source. You don't understand it? You want your questions answered?
Read the code.
Please reread my comment. I'm well aware of bitcoin being Open Source, and in everything I've written about it, not once have I said there's anything nefarious in the code.
I didn't even say bitcoin is a .gov trojan horse, just that it could be conveniently exploited as one. The collapse of a decentralized electronic currency, in conjunction with a disruption of the banking system, could be used to herd people into a "safe" electronic currency controlled by governments and/or central banks.
What is Bitcoin?
I read a while back that some three letter government agency wanted to brute force crack everyone’s encrypted messages but could not pay for the computer time. So they got the idea: “Let’s get everyone else on the planet to pay for it”.
Thus we have Bitcoin.
My ear drums just burst.
Ha-ha!
Bit Slapped
PAGING FONESTAR.......FONESTAR TO THE E.R., STAT!!
Where are all the "Bitoin Bulls" who promised they'd be buying at $500????????
IF YOU CAN'T HOLD IT IN YOUR HANDS, IT IS WORTHLESS.
Where's that "Bitcoin is just like precious metals, except it's intangible" clown at?
BITCOIN IS NOTHING. MATHEMATICALLY-BASED FAITH.
Greatest scam in recent history; Congratulations, Satoshi Nakamoto, and Max Keiser!!!!!!
INCREMENT BITCHEZ
THESE ARE BETTER LEVELS TO INCREMENT BITCHEZ
This is why I'm not a fan of any digital currency. Did the Fed & ECB begin dumping any positions they may have accrued? I don't know, but someone is liquidating.
Good ol' Max Keiser, pumping up BTC at parabolic highs just like he did with silver ~$50.
The only thing that could have possibly justified the upward price movement of BTC would be if the world was ending. The fiat ponzi scheme will end soon - but it's not happening this second.
I get the impression of a price takedown followed by DDoS on the exchanges. Okay, back to pontoon after this. Maybe the lottery too.
Max jumped the shark with this one, IMHO.
I frankly don't get the hype over BTC. Seems like digital fiat subject to speculation.
More like BitTulip.
OH THE HUMANITY!!!! I'm back to where I was on Monday. :(
On a wednesday, weekends are much more fun...
A parabolic move upwards followed by a free fall downwards?!?! NO ONE could have possibly seen this coming...
Nope. No one. If only there were some other chart analogs where we could study this behavior. /sarc
but not so early, not so quickly, and not so suddenly.
it surprised me even though i've been recommending to a number of btc promoters here at zh to cash out before btc goes tits up.
+1 for the 'tits up'
WHAT A RIDE!!!
Organized crime- the Mafia and Organized crime, can do this all day. Up up up up crash.
At least with the PMS they are actually things that have market value.
Damn...we never even got this party started.
A NEW FED CONSPIRACY!!!!!!!
That's a Bit Slappin if I ever seen one!
"In Hexadecimal We Trust"
02FC
This is where the bitcoin haters say that it is 'dead'. It isn't, just a bunch of newbies who got gored by their own inexperience. Trading the swings is fun, but I don't recommend it to the faint of heart.
Trading the swings is fun???... Just a week ago you were telling us all that the PURPOSE was to cut 'banksters' out of the loop... Fucking hypocrites...
Oh yes, that's right - I'm not allowed to trade, according to francis "insert race tag" sawyer.
Any other rules you have for me? Try to exclude any racial overtones - if you can. I suppose I should be trading the HFT infested markets that Bernanke swims in - no thanks, I'll leave that to someone else.
TIMBERRRRRRR!!!!!!!!!!
Looks like a WWF takedown!
Tyler(s) never warned us! They or he were pumping this beeotch all along. ;-)
back at $190 from a low of $105. Heart attack stuff.
Thank you Sir Isaac Newton for discovering GRAVITY!
Bitfarce.. The currency you can't even wipe your ass with when it becomes worthless..
Some excellent BitCoyn threads today,
"Impossible to trade this, INSANITY!" - https://bitcointalk.org/index.php?topic=172497.0
A tale of something called Mtgox and its trading lag of 1109.21 seconds and cries to "stop spreading PANIC."
"How do I get my bitcoins out?" - https://bitcointalk.org/index.php?topic=172544.0
"MtGox is crashing and I really can't afford to lose everything, how can I get my bitcoins out into dollars?
Please hurry."
"BTC falling sharply!! Why?" - https://bitcointalk.org/index.php?topic=172554.0
"What's going on folks? BTC in the $170 and falling. MtGox has a significant lag. Is this another DDOS?"
More here - https://bitcointalk.org/index.php?PHPSESSID=387gh0504qt1667oted0evfsi1&b...
Do be mindful of their server traffic, as the topic at hand experiences some "fire in the theatre" scenario.
The sweet smell of weak hands folding.
BUT MAX KEISER SAID IT WOULD BE BIGGER THAN SILVER!!!!!!!!!!
Did he really?
Who Dat?
Keiser has been HAMMERING BITCOIN.
Dont know what it is about Max's wife Stacy, but oh yeah, fuck yeah I'm lonnnnng Stacy.
Yeah....
not this time...
RT : RUSSIAN TELEVISION
I stopped watching that channel after Lauren quit.
DITTO! Lauren was the bomb! I don't like what they've done to her at Yahoo...interviews are way too short. We need full-time prime-time Lauren back again!
Her real name is not Lauren. She was born in Yoshkar-Ola, her name is Galina.
porn stars never use their real name
because nobody cares what their names are
galina is spanish for chick isn't it?
I was so eager to spend the coming financial apocalypse with Lauren Lyster! Now she even dresses for Yahoo.
we need topless lauren. otherwise, who gives a shit about another host swinging her legs around?
B-B-B-But there was a single house for sale that would take bitcoin! Seemed soooo legit /s
let's give him a call if he still takes bitcoins :)
nice discount on that house :)
I'll pay you friday with the agreed bitcoins Okay?!!
Max Keiser is a scumbad and a charlatan
No better than Jim Cramer, pumping away his investments in bitcoin. He even said he has over $1m in bitcoin at some point.
Not any more he isn't
I watch Max because he has the red ass for the same people I do and gets to rant on TV about it.
His financial advice or anyone else's for that matter mean zero to me. I make my own decisions in all things after careful thought over a period of time and mass quantities of herb. It must work, I'm a country squire now for gods sake. What a trip it's been. Y'all come, ya hear.
If you cannot hold it in your hand like silver, gold, ammo and AR 15 or your own Johnson then it ain't worth shit.
Bitcoin looks like shitcoin
132 now. https://btc-e.com/
Just what we needed, another stable currency...
Holy Bitcrash, Batman!
RIP. Back to your intrinsic value you go.
This was all a setup by the FED.