This never makes any sense though, Bitcoin price going up or down is not a 50-50 bet. You would wager that with increased adoption and services, as well as infrastructure and vc investment your odds are way better than 50-50. Not a gurantee but more likely than not, no?

A few things;

They will not be selling them like that, its not how liquidations of assets go. However if they were to sell them on exchange it would definately have an effect on price, the volume on some days recently has been less than 5k!

Also
Can you clarify exactly what "another thing is higher trust in BTC since something happened around Mt.Gox" means.

Do you mean the liquidators when you say people selling or are you refering to the creditors?

If you are referring to the liquidators they don't really care how much they get, just whats quickest and easiest.

If you are refering to the creditors (gox coin holders) then they don't really have a say.

Please read what I actually wrote;

"no BTC balances returned to the users.". The BTC will be converted to cash.

Q. What is expected to happen under the bankruptcy proceedings?
A. The bankruptcy trustee will implement the bankruptcy proceedings, in which the assets of
the bankrupt entity will be managed and converted into cash, the investigation of the claims,
etc. will be conducted, and if funds for a distribution are secured, the liquidating distribution
will be made.

Again

Please point me to the part that says it will be dumped all at once for fiat on Stamp.

It says converted to cash there a slew of ways to do that and none of them will involve a market sell on Stamp.

I was being sarcastic in regards moreso as to how poeple could think that.

They wont be dumped on Stamp for fiat....

Check out the thread I started in Bitcoin Discussion, apparently it should have no effect at all and in fact should cause an increase in price due to people receiving their compensation and buying BTC with it...

You cant see why the increase in the supply by 200k coins would casue downward pressure on the market?

In the end people will get pennies on the dollar, of those people which is more likely; They say F bitcoin I'm keeping my 10% or I know lets go and put the money I received back into what made me lose it in the first place?

By what standards is BTC cheap at the moment when early adopters who bought coins for next to nothing or mined them probably held the majority of the coins on the exchange?

Coins to be liquidated.

https://www.mtgox.com/img/pdf/20140424_announce_qa_en.pdf

Yep but with Fiat debts to pay it probably gets very confusing.

Also do you think its likely that a Japanese liquidator is seriously going to start sending out BTC? Most people dont even understand it let alone start using it in a legal process.

Huobi responding to the news in typical whatever you wouldnt think the market would do it does fashion.

Thats the solution in principle but can you see that happening?

The person running the bankruptcy process has a lot more to do than just liquidate the coins, all they care about is whats easiest I doubt they are about to start trying to sell above market rate, they dont care how much they go for in the end they just need to follow the process.

Because 200k coins that were not available and part of supply are going to be sold and thus become part of the supply. We can expect that there will be buyers who will hold onto their coins but the fact is that these will likely be sold below market rate and so some people will sell them for easy profit.

An increase in supply means the demand has to rise as well otherwise the price drops, simple economics.

So gox announces the liquidation of 200k coins and the market starts buying lol

If you were a gox coin holder now you would want the price as high as possible so that when the coins are sold theres more cash to go around...

I personally expect the price to drop to around wherever the coins are bought for, the people buying them are not going to sell them at a loss so I cant imagine going lower than whatever the cost price ends up being.

Im opening a serious discussion Im not sure why your trying to mock it...

So then it is confirmed that Gox' coins will be liquidated and no BTC balances returned to the users.

https://www.mtgox.com/img/pdf/20140424_announce_qa_en.pdf

What effect will this have on the market?

Yep and be prepared for at least some of those to hit the market. You cant seriously think that off exchange investors are all going to just hold the coins when they get sold below market rate.

The price going down is not a guranteee! That was just Teras prediction.