The way these things usually work is - massive spike, big drop, another spike (sometimes higher than the first) steep declining trend to a level out at some kind of value the market feels comfortable with. Ive seen it loads of times.

It could be different for Bitcoin but I doubt it.

I suspect that there are (or will be) serious liquidity problems with Mt Gox. With the mania of the last week or so I cashed out a few BTC. The liquidity required to pay out people who are cashing out of BTC will be huge and Gox in turn will need to exchange BTC with other exchanges in order to get that liquidity to pay.

BTC is a really interesting experiment. Its a shame my money is being used to fund it ... for 0 return. Lets face it: man can not live by bitcoin alone.