BTC Trades halted after major drop in value.
As of right now the MTGOX website is showing:
Service is down for emergency maintenance for one hour, until 2013-04-11 23:30:00 UTC. Please retry at that time
MTGOX Released the following statement:
As expected in such situation people started to panic, started to sell Bitcoin in mass (Panic Sale) resulting in an increase of trade that ultimately froze the trade engine! To give you an idea of how impressive things were here are some numbers that we would love to share with you guys: – The number of trades executed tripled in the last 24hrs. – The number of new account opened went from 60k for March alone to 75k new account created for the first few days of April! We now have roughly 20,000 new accounts created each day.
Bitcoin plummeted more than $160 yesterday after hitting a new high of $266. It continued to fall on other exchanges Thursday, trading below $100 in many. Two months ago the digital currency was valued at $20.
As of this moment, BITSTAMP is valuing $72.00/BTC but exchange rates are for information only.
After refreshing the MTGOX website, I can now only see the following text
Database access error, please retry later
Panic selling seems to be at the heart of this problem.
Due to the nature of the so-called "Crypto-currency", there is no physical backing. Not being on the public stock market, or based on any governments economy, BitCoins are notoriously difficult to predict. Due to this, people rely on each others reactions, in order to figure out when to buy and sell.
Over the past several weeks, MTGOX have been subjected to a bombardment of DDOS attacks, causing some major downtime, severe trading lag, and the inevitable panic selling that comes along side seeing prices fluctuate wildly.
Amongst all this however, BitCoin saw its highest ever trade value of $266/BTC.
The MTGOX Website is now showing:
502 Bad Gateway
If any of you do have real money currently riding on BTC, I would love to know your thoughts on the ups and downs, and also...do you plan to panic sell?