2TB Time Capsule getting "An unexpected error occurred. Try again" error

Hi,
I have been using 2TB Time Capsule as wireless hotspot and for Time Machine for about one year but all of a sudden it stopped doing backups. When trying to do a backup Time Machine said it couldn't find a disk to make the backup.
Airpot Utility is still able to see my time capsule:
However when trying to configure it using the utility first it spends some time at this point:
And after 2 or 3 minutes I get this error message:
Things I have tried with the same results:
- Setting my network preferences to change the "Configure IPV6" value on TCP/IP advanced setting to "link-local only" as suggested by a post I read but no luck.
- Also tried doing a hard reset of the device by pressing the reset button with a pen for 5 seconds until the led blinked fast. But I get the same error when using the Airport Utility.
-I even tried doing a factory-reset by unplugging the Time Capsule from power, pressing the reset button with a pen, plugging back the power and waited until the LED blinked fast. But I got the same error message when trying to configure with the Airpot Utility.
There are a few occasions (about 10% of my tries) where I am able to get one step further: I get to the point where it asks me for a password and for a name for the Time Capsule, however when clicking next it seems that it starts to configure some things and I even get internet access via the Time Capsule, however the Airport Utility shows the same unexpected error message after a few minutes. In this scenario Time Capsule works fine as access point, but it the disk still shows as unavailable for backups. I haven't found what conditions make me be able to get to this single further step. It seems to be related to the hard-reset. But it is confusing because most of the times I do the hard-reset procedure it doesn't allow me getting to the password and name setting step. 90% of the tries get stuck in the previous step.
Any thoughts about how to solve this problem? I am worries about not been able to backup my Mac. By the way, my Mac is a MabBook Pro running Mountain Lion.

There is some bug with the TC disk and Mountain Lion..
Look at Pondini section C .. much of it relates to later OS .. Lion and ML.
Some things are obvious and others are just a mess.
Note C9.. that is important. Use short names.. no spaces and pure alphanumeric.
http://pondini.org/TM/Troubleshooting.html
Try manually mounting the disk.. in Finder.. use Go, Connect to server.. and type in the address,
AFP://TCname or TCIPaddress (replaced with actual name or actual IP). eg at default, AFP://10.0.1.1
Any failure to connect try another factory reset and use ethernet.. and do it in full isolation from the network.. ie just the MBP and the TC with ethernet between them.
What version is the TC.. A1xxx from the base please??
What firmware revision?
Using v5 utility can sometimes get around things but you cannot use it on Gen5 TC.
You can load v5 utility into ML with a trick.
How to load 5.6 into ML.
1. Download 5.6 for Lion.
http://support.apple.com/kb/DL1482
Click to open the dmg but do not attempt to install the pkg.. it won't work anyway.
Leave the package open on the desktop so you can see the file. AirportUtility56.pkg
2. Download and install unpkg.
http://www.timdoug.com/unpkg/
Run unpkg on the desktop.. If your Mac refuses to run the software, because it wasn’t downloaded from the Apple store, go to security in preferences and allow other software to work.. this is limitation of trade methinks. You can set back later if you like.
Now drag the AirPortUtility56.pkg file over to unpkg.. and it will create a new directory of the same name on the desktop.. in finder, open the new directory, drill down.. applications, utilities .. there lo and behold is Airport utility 5.6 .. drag it to your main utilities directory or just run it from current location.
You cannot uninstall version 6 (now 6.3 if you updated) so don't try.. and you cannot or should not run them both at the same time.. although I have had no problems when doing so.
For screen shots see this post.
https://discussions.apple.com/thread/4668746?tstart=0

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    http://support.apple.com/kb/TS4597
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    1- The light on the TC is solid AMBER, not green.  When I check the connections in the Airport Utility, all indicator lights on my screen are green, and the "dot" beside the TC icon is green.
    That is weird.. most TC I look at solid AMBER means the hard disk is dead. Not sure but since it is working it is no biggie.. there is some control over how the led functions.. but I doubt you can set the color different.
    In other words.. not a clue.. if the TC is new take it to the genius and show them.. that is not the way it is supposed to work.
    3- I have no idea of the speed of the back-up, and what it should be.  I have about 190GB of data
    to back up.  I totally understand that it takes many hourse for the first back-up.  It looks like the
    speed I'm seeing is changing frequently, and it's backed up about 3.5GB in about 20 minutes or so.
    Is that a fairly "normal" speed??  I just want to make sure my configuration is good.
    Over wireless expect slow.. you did not state wireless or wired.. but those look like reasonable wireless speed. your files will load at different speed.. small files are slow.. larger files much faster.. it takes time to write the tables for many smaller files.
    We always recommend first backup over ethernet.. even if the TC is pulled out of the network.
    4- I'd like to set up a "guest" wireless network with an easier password...I had done it earlier when
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