Are we at the bottom in this cycle? Have we seen capitulation? Does the high volume today signal capitulation?
What was unusual in the current down turn is that good news didn't increase the price, it just kept going down.
I think once the Chinese got a mechanism to short Bitcoin (via OKcoin) then they've manipulated the price down to its current levels.
The Chinese at present handle the majority of trades for Bitcoin, furthermore they have no use for Bitcoin other than speculation and mining. So what's happening is the Chinese are selling futures of Bitcoin at deflated prices. My worry though is whether OKcoin correctly tracks the Bitcoin that have been shorted.
Any massive increase in the price of Bitcoin can send many shorters into Bankruptcy.