I'm so happy google did this. For one tiny span of time the SEO world is given a taste of its own medicine. Let me explain: When I crawled geocities and re-hosted it under reocities.com I was trying to achieve something positive. I did not realize how infested geocities had become with spammers, linkfarms and other trash. Probably at least a few million of the accounts were either compromised or somehow tricked into…
I'd like to look at it in another way. I've a small blog, one that I love running, it makes barely any money, but for a long time ranked for some pretty good keywords. Anyways, a few of my articles blew up on hackernews, reddit, even on twitter (with smashing magazine tweeting it out), as a result, everyone and their grandma linked back to my articles when they discussed the topic it targeted. What happened then? I l…
Great. that's what's supposed to happen, links accumulate naturally. (I'm deliberately ignoring the inconsistencies in your story, BTW ;-)
"Yet, I get penalized for it. It's fucking shitty"
How are you being penalised? Did you get a warning of bad links in your Google Webmaster dashboard? If not, how do you know?
Links accumulate, and some disappear over time. That's natural on the web. If Google taking out a bunch of low quality sites affects your own site, that only means the value of your site is significantly positively affected by these sites, so your site was over-ranked. Now it's placed closer to where it should be.
Being linked to by big traffic sources also brings attention from less known sources - that's quite normal.