Understanding the Relationship Between BTC Price and Mt. Gox
As it gets ready to reimburse consumers who lost money in the disastrous exchange hack ten years ago, Mt. Gox started sending Bitcoin on July 16. As per Arkham Intelligence, a wallet associated with Mt. Gox transferred 0.021 BTC to another address. This might be a transfer test, according to industry observer Colin Wu.
- An hour later, though, a considerably larger payment of 44,000 Bitcoin (around $2.8 billion) was made to an address linked to the Mt. Gox Cold Wallet.
- As of right now, the Mt. Gox wallet is still holding an incredible 139,000 BTC (over $8.8 billion).
Bitcoin Price Drops Below $63K Intraday
One of the first cryptocurrency exchanges in history, the exchange went bankrupt in 2014 as a result of a catastrophic attack that stole 850,000 BTC, worth about $460 million at the time of the occurrence. Repayments to creditors were supposed to start in July, according to a letter from the Mt. Gox rehabilitation trustee sent out in late June. On the news, Bitcoin fell 4.6% at that point.
- The markets, which have been rising over the last few days, will probably come under more pressure due to the possible selling of billions of dollars’ worth of Bitcoin by Mt. Gox clients.
- Over the last few hours, there has been a significant decline in Bitcoin, with a 3% loss and a drop below $63,000.
- BTC was trading at $63.260 at the time of writing.
FAQ
How is Mt. Gox’s Bankruptcy Process?
Mt. Gox’s bankruptcy process continues under court supervision. Creditors’ claims are being evaluated, and payments are being made.
Mt. Gox’s Bitcoin Moves have Long-term Effects on the Cryptocurrency Market?
Mt. Gox’s Bitcoin move may cause price fluctuations in the short term. However, in the long run, the market may get used to such movements and stabilize.
Why has the Bitcoin Price Fallen?
The Bitcoin price has fallen due to concerns that a large amount of Bitcoin will be moved and potentially sold. Mt. Gox moved $2.8 billion worth of Bitcoin, leading to panic selling by investors.
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