can someone explain why the bid sum went down drastically quite a while before the drop with price being stable and even rising?
MtGox allowed cancelling active orders, but no placement of new orders during the 12hr "market cooldown".
Oh. What any exchange anywhere in the real world would have done, would be along these lines:
- Close trading for at least 24 hours to enable notification to all account holders
- Erase all existing orders
- Allow placement of new orders
- Execute an "opening", where all the bids and asks are matched against each other, and the market cleared with
one price (and probably huge volume as all market orders and a good number of limit bids and asks would be instantly executed). Only after this the open trading would commence.
It is sad that they seem to have no experience whatsoever concerning the basics on how to run an exchange.