The post "Mt. Gox $2.71 Billion Bitcoin Transfer Sends BTC Price Crashing to $54k, Analyst Calls for Calm" first appeared on 36crypto.com News.
Defunct cryptocurrency exchange, Mt. Gox, transferred a massive amount of Bitcoin, up to the tune of $2.71 billion earlier today in preparations for creditor repayments scheduled to take place this month. The large transfer sent shockwaves through the crypto market as the price of #Bitcoin went crashing to $54k.
Mt. Gox Sends Over 47,000 BTC to New Wallet
Arkham Intelligence, a sophisticated blockchain transaction tracker, revealed that the former Japan-based crypto exchange moved exactly 47,228 BTC, valued at $2.71 billion from its cold storage to a new unidentified wallet. The transaction was initiated at 00:27:24 UTC. Even though the identity of the new wallet is not known, it is safe to say that it might be associated with one of the five exchanges selected to help with the reimbursements including Bitstamp, Bitbank, Bitgo, Kraken, and SBI VC Trade.
Analysts Clarifies FUD, Says Market Can Handle the Pressure
Meanwhile, several prominent crypto analysts have tried to calm the situation and clarify the FUD (fear, uncertainty, and doubt) by investors. They have stressed that even if a sizeable number of the creditors sell their coins, the market can handle the pressure and the impact will not be as significant as expected.
Ash Crypto, a prominent crypto trader took to his X (formerly Twitter) account to explain how this will happen in detail. He said that the reason why Bitcoin is crashing at the moment is a result of an overestimation of the Mt. Gox selling, as people are thinking that Bitcoin might fall further to $40k or $45k. According to his analysis, Mt. Gox will distribute #BTC in three phases; early payments (from July to October), intermediate payments (final creditors), and final payment (years later).
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