A few weeks ago I read an article on TechCrunch by MG Siegler saying that he was able to replicate the antenna problems with iPhone 4 on his older iPhone 3GS by wrapping his hand around the entire bottom of his 3GS. Well, I have a 3G and since the 3GS and 3G have a nearly identical design, I figured I'd try it on mine. No luck after multiple attempts, so I gave up. Tonight I came across that same article and thought I'd give it one more shot, this time making sure my hand covered the entire bottom, and sure enough it worked. The signal on my iPhone dropped from 5 bars to 2 bars in about 30 seconds and as soon as I took my hand off, signal was restored to 5 bars within another 30 seconds. Screenshots below.

And to prove I wasn't cheating, you can see it was all done at the exact same time, 8:24pm ET with the exact same battery life. So what does this all conclude? The issue with the iPhone 4 is clearly all in our heads because there's a line on the stainless steel band of the phone exactly where the issue occurs. If there wasn't a line, I'm sure much less people would have noticed the issue, albeit the antenna's located in a different place on the phone. If any of you have tried this on your older iPhone, leave a comment with your results.