Skip to comments.Bitcoin plummets 20% after major exchange halts withdrawals
Posted on 02/07/2014 5:02:46 AM PST by Red in Blue PA
Virtual currency bitcoin lost nearly twenty percent of its value on Thursday evening, after major exchange Mt Gox halted trading to try to resolve ongoing technical issues.
The digital currency which is known for its wild price fluctuations was trading at $680.52 on Friday morning, having traded around $850 for most of the week, according to CoinDesk, which tracks the price of bitcoin.
(Excerpt) Read more at cnbc.com ...
So its acting like the price of a small cap - big deal...
Who has the bitcoin ping list?
I would say if folks are using Bitcoin as an investment vehicle they are doing it wrong. On the other hand, if they are using it as an easy, convenient, low fee means of conducting a transaction they are doing it right.
The big test here is whether merchants who accept Bitcoin are now going to raise prices by 20%. If not, the latest dip has done nothing to the value of Bitcoin. It has only affected the relationship between Bitcoin and Federal Reserve Notes.