Quote from: fitty on August 09, 2011, 10:12:35 PM

Quote from: vulgata on August 09, 2011, 06:12:27 PM

Quote from: coined on August 09, 2011, 05:28:16 PM

Quote from: GeniuSxBoY on August 09, 2011, 05:21:53 PM

EVEN I THOUGHT BITCOIN WAS DEAD!!

bitcoin works on faith and I think a little faith is being restored. That guy who made the $120,000 investment made a great investment.

I would feel a little safer if it was a gradual increase after we were all sure the decline was over, it still feels we could slip back down any minute Undecided

the investor will likely just sell back out if he see's he hasn't kicked off a rally, The fear of going through 10 then free falling to 5's again will be on his mind. its on ficken mine Grin

Agreed, it's still far from the $15 range we were seeing just a week or two ago.

Quote from: stic.man on August 09, 2011, 05:46:26 PM

I'd love for it to shoot up again, but you guys are insane, it goes down 6-8 bucks over a week then comes back 5 and you think it's rallying.

it's unhealthy thinking

+1

I think it's just as likely to drop back down again, especially since this jump wasn't accompanied by any good news, promotion, or anything new at all. Hash rates continue to fall and all the press has been super negative. MyBitcoin and the Bitcoin Police have only brought up more sketchiness and mistrust. I'm still sticking by my prediction that it will bottom out around $5-6 within the next month or so. Unfortunately, I can also think of scenarios where it crashes below $1 too... but I'll stay optimistic for now.

It's funny how hackers flooding the market with 75K coins from mybitcoin.com is called a "crash". When someone with 150k buys up the market it's not a rally it's "temporary blip".

It's because the "crash" wasn't caused by 75k coins, but by the loss of faith in the currency by everyone who heard the news. The stolen coins may have precipitated the sell-off, but everyone responded based on their own feelings and readings of the fundamentals.

Quote from: fitty on August 09, 2011, 10:12:35 PM

Hash rates have nothing to do with anything. Bitcoin works just as well at 1.5k ghash as it does at 15k ghash.

Yes, but my point is that miners respond to the prices, and turn off their rigs when it stops being profitable for them.

Quote from: fitty on August 09, 2011, 10:12:35 PM

Bad press? You heard the press on the USD? Do you still use USD? Have you moved all your savings out of USD? Do you still get paid in USD?

Yes, because the USD is backed by the US government, which despite the recent news is still the world's only superpower. Bitcoin is backed by the faith of anonymous people on the internet.

Quote from: fitty on August 09, 2011, 10:12:35 PM

People use Bitcoins as a currency. What that currency trades for on the open market doesn't mean jack squat. Sellers don't sell at a fixed BTC price. They sell at a fixed USD price. Bitcoins could be worth 10 cents and it doesn't change how these transactions work. When you go buy $50 worth of bitcoins to buy that bong you've had your eye on, does it really matter if you buy 100 bitcoins with that $50 or 2 bitcoins? The buyer/seller don't really care.

Trust me they're not nearly as important as they'd tell you they are. And the USD value of BTC isn't nearly as important as people tell you it is.

Except that only works if you can convert between USD/BTC immediately. Otherwise, the price and volatility matter tremendously. If I can lose 20-30% of the value of a transaction between the time I get one confirmation and completing the trade on Mt. Gox, then fuck yeah it matters, since I gotta pay the bills in fiat.

Quote from: fitty on August 09, 2011, 10:12:35 PM

In fact, it isn't important at all. If Bitcoins magically stayed at $2 for the next 10 years it would work just fine. People mine at a loss at various folding projects, lots of people don't pay for electricity, there'd be plenty of miners still cranking away.

Yes, but people generally donate computing time for worthy causes. They want to see their stats increase for a reason, and if BTC fails and only a few geeks use it for shits and giggles then that's not a good reason.

However, you're right that if it stayed at $2 it would be great. Nobody is going to assume the risk of accepting BTC with the volatility this high. Right now it's riskier than investing in a penny stock and it's just a fun game for naive geeks to play with.

Quote from: fitty on August 09, 2011, 10:12:35 PM

The people who care are the miners, investors, day traders, get rich quick crew. None of those people are needed. 80% of miners could fuck off and it would barely be a blip in the community. An 80% exodus would take 2-3 weeks plenty of time for difficulty to adjust. Even if there was a span where transactions took 15 minutes instead of 5 to confirm? Big deal. Eventually it adjusts and things are back to normal.

The miners are absolutely essential to the success of BTC. Once it drops low enough, such as your 80% scenario, the integrity of the network is put in jeopardy and double-spend attacks etc. become much more of a threat. Not to mention, a quick crash could lead to an instant exodus of miners which could leave the remaining miners unable to reach the next difficulty adjustment like we see with Namecoin.

Quote from: fitty on August 09, 2011, 10:12:35 PM

No more trading bots? Sign me up for that.

Trading bots are important for liquidity and stability, two things we absolutely need if we want to start the transition from fiat --> BTC in any measurable amounts.

Quote from: fitty on August 09, 2011, 10:12:35 PM

Get rid of the drama queens, the pumper and dumpers, get rich quick crew, and most of the cancer of the bitcoin community is gone.

I see you come from /b/ ಠ_ಠ