MTGOX limits withdrawal amounts

At height of trade frenzy, top exchange limits amount users can withdraw in a day/ month. Will this prevent a downward swing in the market?

https://mtgox.com/press_release_20130313.html

On March 13, MTGOX stated in a press release, "due to recent events in the Bitcoin community and the spike in the Bitcoin price we at Mt.Gox are putting in place a new daily withdrawal limits."

Basically, they are afraid of a mass sell off that could trigger upheaval in the marketplace. Although users could trade all of their Bitcoin for USD, they might have to wait sometime to actually receive their funds.

The caps will really only change for high volume traders, those people who could be capable of putting a dent in the exchange should a few decide to sell a large quantity of BTC quickly. Seeing as MTGOX has a virtual monopoly on BTC exchanges (their homepage proudly states they handle 80% of market volume), it could actually make sellers cool their jets, so to speak.

Troubling times in the kingdom when the largest broker seriously doubts the long-term value of the goods it exchanges.

But as I said in my last post, only the great Flying Spaghetti Monster knows what will happen with the prices.

@Bitcoin_Trends