Earlier today, defunct crypto exchange Mt. Gox $3.2 billion worth of Bitcoin was transferred from a wallet connected to the exchange. According to Arkham Intelligence, this transfer involved a transaction involving 42,587 Bitcoin (BTC) worth $2.8 billion and the transfer of $150 million worth of Bitcoin to the Bitstamp wallet. These transactions may be part of an ongoing process that was approved earlier this month and involves returning $9 billion worth of Bitcoin to creditors. Mt. It was announced that Gox would use certain exchanges such as Bitstamp to make these payments. Other exchanges such as Kraken also received their share, and Bitbank and SBI VC Trade will reportedly distribute the funds to creditors shortly.
Mt. Bitcoin price dropped after Gox transfer
Mt. Gox’s latest wallet activity follows a series of small Bitcoin transfers yesterday, thought to be linked to Bitstamp. These smaller transactions were treated as test transactions before major deployments. At the time of writing, Mt. Gox’s Bitcoin holdings were valued at over $6 billion. These latest transfers caused a sudden drop in Bitcoin price, falling from its peak of $68,200 to below $66,500.
BTC sale from the US government
The US government moved 60 Bitcoins worth about $4 million, sparking concerns about a possible new wave of selling. This transfer came after the recent massive sales by the US and German governments, which created great pressure on the cryptocurrency market. According to Arkham Intelligence, the US government moved 58,472 BTC to “34tXj..HUXfd” and this wallet transferred the Bitcoin to Coinbase Prime. But despite this latest transaction, the US government still owns approximately 213,239K BTC, worth approximately $14.43 billion.
These continuous sell-offs are causing concern among investors and are seen as one of the factors that could have a significant impact on the future of the market. It is thought that if government sales continue, the decline in BTC price may deepen. Despite the recent US government sell-off, there are positive signs in the market. Donald Trump’s speech at the upcoming Bitcoin Conference 2024 may have a positive impact on the market. Trump’s views on cryptocurrency could change market expectations and offset the negative effects of government sales. Additionally, rumors that Donald Trump may declare Bitcoin as a strategic reserve for the US are also boosting market sentiment.
ETF inflows also attract attention
On the other hand, recent strong inflows into US Spot Bitcoin ETFs show investors’ confidence in long-term value. These inflows reflect confidence in the long-term value of the cryptocurrency despite short-term fluctuations. The combination of Trump’s speech and ETF inflows could provide a counterbalance to the negative pressure from government selloffs.
However, even though there is a positive atmosphere in the market, the continuation of government sales poses a significant risk. Investors should carefully monitor both selling activity and positive factors that may affect the BTC price. Despite the recent sale by the US government, Bitcoin price is up over 1% to surpass the $68,200 level. Trade volume also increased by 84% to $43.79 billion. Additionally, BTC Futures Open Interest increased by 2% in the last 24 hours, indicating increased market confidence in the asset.
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