Finally some fight back
This is what I think is happening.
As people are finding out about the news, they are frantically trying to move money to an exchange and settle for USD, in hopes of buying back, but the money is currently stuck on confirmations. Mt. Gox got me at 6 confirmations. I think a lot of the transactions are stuck in limbo right now. Once a confirmation happens you see that drop in price because people want to sell.
there have been some monster btc account movements. in the millions stuck in the 6 confirmation stage, I suspect these are people that are moving money to an exchange to sell or at least have the option to sell.
People are buying with impunity after that hearing. this is ridiculous.
Looks like a bug on the database end where it's stuck in a loop where the last transaction is contantly getting rolled back and transactions are being done all over again.