7thKingdom
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February 10, 2014, 06:17:34 PM

My thoughts are we have seen the end of coins from Mt Gox.  There will never be another coin that leaves because there aren't any left.  

I think the real question is, how much does that matter?

Lets say the price settles around $700 until gox next announcement (they said Monday they'll have an update, right?), at which time they basically come out and confirm they're done.  What would that do to the price?  As far as I'm concerned, the current rundown is already working under the assumption that any funds locked up in Gox are doomed.  So any official announcement by Gox may result in a very short term reaction downwards, but logically it should bounce back up close to current levels pretty quickly.

Simply put, I think it's a reasonable assumption to think that the current prices already have the worst case Gox scenario priced in (or at least, pretty close to it).  There would still be short term reaction to an official gox announcement, but any fall should see a pretty quick bounce back to current levels (by current, I mean wherever we end up Sunday/Monday before any official statement).

Whereas good news (aka people being able to move BTC out of Gox) would see a huge price spike, with the other exchanges following along at a less extreme, but still upwards, rate.

That said, I'm still hoping for some more downward pressure in the coming days leading up to an announcement by Gox.

And, just like that it happens (didn't exactly announce they're done, but did spread other fud).

Pretty happy to see us bounce right back up near previous levels after Gox fud.  Markets (mainly BTC-E) certainly reacted a little crazier than I expected, but I think it's a rather encouraging sign for the long term value of bitcoin, to see it get smashed hard with deceptive news and have people almost immediately identify it as such and restore most of the value back.