WTF Happened to Bitcoins?!?

The price of one Bitcoin was roughly $260 USD now at around $150 USD, WHAT HAPPENED??

It was not a crash. What happened was some people were pumping the price up, then they had a large dump. Dont worry BTC is goign to stabalize back to normal prices which is around $170-180. 

Well put ;)

Thanks, just trying to clear as many misunderstanding as possible :D

Can someone explain this to me? When we say that BCN is valued at $150 what does that mean? Does that mean one bitcoin is worth $150?

Precisely.

Thanks! But if it's going to stable at $170-180 i should have sold at $260 :(

"Dont worry BTC is goign to stabalize back to normal prices which is around $170-180. " ~StormSurge

And you're so certain of this why? In other words, how are some of you able to speak with such certainty about this? Experienced FX traders can't predict with any great accuracy currency trends, so how come so many of you can do just that when it comes to bitcoins?


Speculative bubble if I ever saw one.......

Because we have seen it happen time and time again. Its a cycle. People pump up the price. Then after they are happy with the price they all collectivly dump, causing it to fall. Then what happenes is everyone sees the new all time low price so they all buy at the low price. After a ton of people buy it at that low price it goes back up. Then people sell again. Causing it to stabalize. It happens all the time. Several times just in march we have seen this happen.

I'm amazed you guys are playing with fire like this.

Just because "we have seen it happen time and time again. Its a cycle" is no guarantee it will continue to work that way. The only reason it has repeated this "cycle" as you call it is because people like you continue to believe that it will always go back up and stabilize. This is by definition speculative investing and there is absoultely NO fundamentals justifying this kind of valuation or certainty except that you guys are convinced of its value.

The most basic disclaimer given by any reputable financial advisor that MANY of you are not giving two shits about: Past performance is no guarantee of future results. <--- I think each and every one of you dabbling in this FX trading needs to swallow your hubris, step back from the precipice, and admit you don't know WTF you are doing before someone bites off way more than they can chew.

To put it more bluntly, there is a such thing as "smart money" and "dumb money"... the "dumb money" follows the "smart money", it is a herd mentality that runs the price up (and the smart money exits as soon as they notice the dumb money rotating in). With these insane numbers of noobs joining the party (see: http://techcrunch.com/2013/04/11/bitcoin-price-drop-caused-by-rush-of-interest-not-ddos-says-mt-gox-exchange-newcomers-now-opening-20k-accounts-per-day/ ), it's only a matter of time before the whole house of cards comes tumbling down. Maybe it will be in a week, maybe several years, but it *will* happen and it won't be pretty when it does.

Oh, and when the SHTF, trust me... each and every one of you will belly-ache about how it was impossible to see it coming and nobody warned you. Yet here I am (and historical example after historical example) warning you about the perils of the path you are taking, and yet you will make the same mistakes every investor in a "sure thing" does because, after all, "this time it's different!" =/

Good thing the team is mining and not buying lol

Yeah, I have no problem with you guys mining and Logan putting some of those profits into the Tek Syndicate. That's a great idea and I'm sorry if my misgivings come across as being against that idea. I just fear that when the money seems sooo easy to make and ppl start to think they have the ups and downs all figured out, some of you guys won't have the restraint and good sense to avoid trying to buy and sell your way to wealth. It's a very easy mistake to make, especially when people all around you are getting rich... Just ask people who bought houses in the late 90's/early to mid-2000's because "home prices always go up up up"... It all seemed easy as the bubble was inflating, but when prices plummeted and reality set in, people were forced to see how very wrong they were about the surety of a "sure thing"...

Exactly. Why spend money to hope when something like a large group effort can do so much more for so much less hassle ;)

By joining the mining pool, do we get profits ourselves, or is it only Logan and the scientists who benefit from it?

During contests, 50% of what we earn goes to Logan, while the other 50% goes back into the team via upgrades and giveaway items. During the time we are not hainvg a giveaway, each week we dontate about 20% a week to Logan while using the remaining amount for more upgrades for team members.

And that price just keeps dropping...

I feel like everyone is just panic selling like morons... As long as it stays over $80 I can live lol

FYI:

Hacker News @HNTweets

Mtgox stops trading for 12 hours: https://bitcointalk.org/index.php?topic=173383.0 Comments: https://news.ycombinator.com/item?id=5532087

~

P.S. Here are two key investing terms that I hope everyone will bear in mind if they consider putting serious money into speculative investments (like currency/commodities/stocks) because they are convinced prices will *always* stabilize/return to their previous "norms":

"Dead cat bounce" : http://en.wikipedia.org/wiki/Dead_cat_bounce

"Cathing a falling knife" : http://forextrading.about.com/od/forexfaqs/f/catching-a-falling-knife-in-forex-trading.htm

If life has taught me anything, it's history repeats itself. That goes both ways, sure bitcoin will see and all-time high eventually, same with an all time low and back and forth, but eventually down the road it will phase out. But thats neither here nor there, milk it while you can!

Well we are using eletricty to mine so its not 100% free. Plus for those of us who dont win any prizes it is a loss on our parts. Plus we do relie heavily on BTC/USD exchange rate. Like your notes post, we would need a massive pool many times the size of the one now and BTC to stay at 200+ in order to make 2 million USD in a matter of weeks.

I never seen such optimism as that. We should be happy if we could sell the bitcoins at 150 a peice.