Price difference between Bitstamp and MTGOX.

[Twodogsclucking]

Hi

Newbie here, could you guys please explain to me why the prices at bitstamp and mtgox are different?

Sincerely,
Dogs

[moocoin]

Gox is artificially high because everyone there is selling, driving the price up.
Why are they selling? Because Gox has essentially infinite delays when withdrawing fiat.

[Gray Bot]

The reason is that you can't get fiat out of MTGox. So everyone is buying BTC and that makes the price go up. Then they transfer the BTC out to bitstamp and btc-e and sell and that causes the price on those exchanges to go down, which causes the gap. The more fear that there is the larger the diference there will be.

[Twodogsclucking]

Thanks for the info. What happens to MTGOX now?

[cozytrade]

Thanks for the info. What happens to MTGOX now?

Congestion in BTC and cash out flow