Actually in June 2008 it hit $147.27 and within 6 months in January of 2009 it was down to $33.20. A nice short. Didn't Goldman call give a $200 call when it was $147? http://www.barchart.com/cache/414954879da1f74caee9b21cf089e52e.png
The only reason oil fell as sharply as it did is because the fed and ECB pulled in the money supply sharply, which caused the dollar to fly, and crashed the worldwide banking system. You don't see that now. It's the opposite, every central bank in the world is printing.
it crashed not because the fed or ECB pulled money supply it was hedge funds who were long on oil were are leveraged and positions were on margin....so when the bank called the loans..they liquidate their margin positions....the fed or ECB couldn't care less....you have a loan with these guys ,,these guys can call their loan at anytime...the credit market collapse meaning if a lender called the loan,,nobody else is going to lend you money for stock market or oil 'speculation'' why? it's not their business and too risky of a loan..or that was deal the bank can call the loan with short notice..since these were short term loans or loan covenant not satisfied...that only prime brokers would lend these hedge funds to speculate in derivatives..as it's too risky or banned in traditional lending practices. it's same lending money to gamble in the casino...analogy why lend money to them when you can use the money for youself stocks and futures are 'derivatives' meaning there isn't really any value if things go wrong...etc. and the lender holding bad loan..it's like these stocks are not able to be used as collateral..it's like unsecured loan. in unsecured loans the borrower can go bankrupt and the bank hold the bag bad loan...debt court. no assets to sell if borrow defaults on loan or the asset is worth way less than. unsecured loans are very risky...for the lender
the entire price oil can implode. Regardless of central banking actions around the world. I want to wish everyone a healthy, happy, holiday.