Bitcoin Price Rebounds: Reports of Bitstamp Processing Withdrawals

Journalist:
Kyle Torpey @kyletorpey
February 14, 2014

Bitstamp customers on Reddit and bitcointalk are reporting that they are now able to make Bitcoin withdrawals. The price almost instantly recovered back to the $700+ level that was normal before the transaction malleability problems first began. As we reported yesterday, it seems the transaction malleability problem may have been overblown, especially when it came to the troubles at MtGox. This rally is proving that Bitcoin really is the “honey badger of money“.

Hourly Bitstamp chart, showing a potential double bottom around 530 – 540.

Are We Back to Normal?

There were a large number of reports in the mainstream media about how Bitcoin had a bug and how this could, once again, be the end of the road for the cryptocurrency. As usual, those claims were overblown and now it seems confidence is returning to the Bitcoin market. MtGox is still far behind the other exchanges when it comes to price, and it definitely seems that Bitstamp has take full control as the most reputable exchange in the world. While MtGox will still need to deal with their fiat withdrawal issues, it seems that things are at least getting back to where they were before the press release at the beginning of this week.

Buy the Dips

Whenever there is some kind of “crisis” reported in the mainstream press, it always seems to have negative effects on the Bitcoin price. Even when something like transaction malleability is not actually a critical error in the protocol, people will start reporting on something they don’t seem to understand. As with many of the other media-induced “crashes” from the past, it seems that it’s always a good idea to buy those cheap coins when they’re available. As many of the most successful investors in the world like to say, you should always make your buys when there is “blood in the streets.” Things haven’t been bloodier for Bitcoin in quite some time, and it seems people like Roger Ver could also experience even greater gains by purchasing MtGox bitcoins while their credibility is at an all-time low.

Last modified (UTC): February 14, 2014 18:17

Kyle Torpey @kyletorpey

Kyle is a freelance Bitcoin writer and the Marketing Director for Bitcloud. His work has been featured on Business Insider, VICE Motherboard, Let's Talk Bitcoin, and RT's Keiser Report . You can follow him on Twitter (@kyletorpey) or send him an email.