Well, it doesn't really die, but it just becomes reaaaaaally slow. I could even have just ONE torrent, download/upload at 1/1 even and it's still slow. And yes, my ports are being forwarded.
Upload speed should always be capped at 80% in a bittorrent client.
Having it higher will not only slow down internet access, but your download speeds on torrents will suffer.
There needs to be room for acknowledgement signals and other messages to get through.
You mentioned you had done port forwarding, so I assume you have a router.
Too many open connections in your bittorrent client can cause problems with routers and internet access.
What is your router make and model?
What do you have your max global connections set to in your bittorrent client?
Which bittorrent client are you using?