Mt. Gox has moved 44,527 BTC worth $2.84 billion to an internal wallet.
This could lead to another huge phase of Bitcoin (BTC) sell offs fueling a major FUD event.
Will the crypto rally hold and thrive despite another round of BTC selloffs?
The sentiment is high and bullish in the crypto community as all altcoin and the pioneer cryptocurrency Bitcoin (BTC) are all in bullish green waves. The crypto community is ecstatic to see that the market has recovered from the previous dip phase caused by the repeated selling of BTC from the German government.
Another factor that contributed to the previous dip was the fact that Mt. Gox was also giving back crypto to its previous users. This amounts to a big chunk of BTC returns to previous Mt. Gox users. While these users will get only a fraction of their previous BTC holdings, in total this give back still amounts to a big chunk of BTC.
Moreover, because this is a smaller amount of BTC, most previous Mt. Gox users will likely sell their BTC to make up for their heavy losses in the past. This is what led to a greater dip in the previous few bearish weeks.
Presently, Mt. Gox has just moved 44,527 BTC worth $2.84 billion to an internal wallet according to data from Arkham Intelligence. These assets could likely be returned to previous users who may choose to hold or sell their returned Bitcoin (BTC) shares.
Mt. Gox moved 44,527 BTC ($2.84B) to an internal wallet, potentially for repayment. They currently hold 138,985 BTC ($8.87B). #MtGox #Bitcoin #FUD pic.twitter.com/uknLTZfRJ8
— Cryptonewsland (@cryptonewsland) July 16, 2024
In total, Mt. Gox still holds 138,985 BTC worth $8.84 billion. If Mt. Gox places to return all of its BTC holdings, and if its recipients were to choose to sell all these Bitcoin returns, then it could lead to another wave of a brutal market dip.
In response to this latest move from Mt. Gox, where a quarter of its BTC holdings was moved to an internal wallet, many crypto traders and investors are expecting another wave of FUD to shake the crypto market.
If another dip caused by FUD were to hit the crypto market the ongoing crypto rally would be lost. However, some remain hopeful of a calmed wave of sell off. Towards the end of the German government’s BTC sell offs, the impact on the crypto market wasn’t as brutal as when the selloff began.
Perhaps Mt. Gox sell off won’t lead to another brutal dip. Perhaps with the crypto market expecting the arrival of the golden bull run, smart traders will buy when sentiments are in the fear scale and prepare for the massive bull wave that is expected to arrive later this year or early next year.
Read Also
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The post FUD Strikes Again as Mt. Gox Moves 44,527 BTC Worth $2.54 Billion, Can Bullish Sentiment Hold Strong? appeared first on Crypto News Land.
