GeeksHive International

Passion for knowledge and use of new technologies (among which is Internet as the main source of interest and the most transcendental, dynamic and innovative way of human exchange in history)

Thursday, April 11, 2013

Bitcoin, the virtual currency collapses more than $100

 Last weeks have been relevant for Bitcoin because it has seen an important rise in prices, but that halted with a notorious decline of more than $100.
Bitcoin is a decentralized digital currency that has seen a lot of momentum over several months, thanks to a price speculation rather than actual use of this currency.

Yesterday morning Bitcoin reach a high price of about $260 but in a matter of hours the price decline to about $150 on the Mt. Gox exchange.

The reason of the decline isn’t attributable to a single event, but many belive that this was expected because of the fast price rising of the pasts weeks. Too many speculators aiming to sell at the first sign of a large price drop was a perfect combination for what has happened yesterday.

Some people also think that Mt. Gox is suffering from significant lag time and potential distributed denial of service (DDoS) attacks, which has led to a destabilization of the market.

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