Bitcoin on MtGox Dives Below $140 Ahead of Update

Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term (BTC) on MtGox has taken a dive over the past 4 hours, once again losing as much as half its value. It is currently trading at $135.

Trading had been "relatively" flat since Tuesday, hovering in the $240-300 range for much of the period. This came after BTC temporarily jumped to over $400 upon indications from MtGox that they will be resuming withdrawals, only to drift back to and beyond earlier lows as the market grew increasingly skeptical of MtGox's ability to make good on its promises. In addition, the prospects of a long-term solution restoring a complete and secure transfer capability remain murky.

The cause for the sudden drop is unclear at this point: there may be market participants expecting the worst and triggering a snowball effect, or perhaps some who are already confident of what the outcome will be.

Elsewhere, BTC on BTC-e and Bitstamp has remained somewhat resilient. On both exchanges, BTC has mimicked its negative trajectory from MtGox but on fraction of the scale, losing no more than 7% on either Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term before recovering some of its losses.

BTC is trading at $590 on BTC-e and $612 on Bitstamp.

Traders are likely hedging their bets while watching the calamities befalling MtGox over the past few hours, but remain largely confident that the issues experienced are more specific to MtGox than to Bitcoin itself, especially following the overwhelming response confirming such from prominent members of the Bitcoin community.