Yep, I know it must be frustrating! If there is an “upside” it might be that many sites buckle under the onslaught of a good Digg, so you are not alone and Diggers “get it” when there is a problem (evidenced by the digmirror link for your site.
Depending on the particular Digg or Slashdot intensity, your shared hosting account might not have survived even without the recent (horribly timed for you, I admit!) DH “brokedness”.
Hey, things do break, and this “breakage” could not have come a a worse time for you given the Digg. But just remember that “the grass is always greener” in the neighbors yard and it is very easy, with webhosting in particular, to jump “out of the frying pan and into the fire”.
BTW, I enjoyed your article and found a couple of gems in there I had not been aware of. Good Job!