The post Mt. Gox Moves $2 Billion in Bitcoin—Is a Massive Sell-Off Coming? appeared first on Coinpedia Fintech News
The now-defunct Mt. Gox crypto exchange has transferred over $2 billion worth of Bitcoin into two addresses, possibly hinting at the next phase of creditor repayments. This major transfer comes as Bitcoin hits an all-time high of $81,858, raising questions about potential sell pressure. Could this massive move trigger a short-term sell-off in BTC?
Mt. Gox Moves $2 Billion in Bitcoin
According to Arkham Intelligence, a Mt. Gox-linked wallet sent around 27,871 BTC (worth $2.24 billion) to a new wallet and 2,500 BTC (worth $200 million) to the exchange’s cold wallet on Sunday evening.
The recent activity comes after months of limited movement, with Mt. Gox shifting 30,371 BTC over the past week alone. This series of large transactions is fueling speculation about potential upcoming repayments to Mt. Gox’s creditors, as similar transactions in the past have often led to distributions through exchanges like Bitstamp and Kraken.
Another analytics platform, SpotOnChain, reported that in just the past four days, the Mt. Gox wallet transferred 32,871 BTC to various wallets, with a small portion—296 BTC (around $20.13 million)—flowing to crypto exchanges like OKX and B2C2.
Mt. Gox transferred another 32,371 $BTC ($2.19B) to 3 new wallets in the last 2 hours.
Over the last 4 days, Mt. Gox has transferred out a total of 32,871 $BTC ($2.22B). Among these tokens, 296 $BTC ($20.13M) was moved to #B2C2 and #OKX.
Currently, there remain 12,006 $BTC… pic.twitter.com/L3ZQZLpnDR
— Spot On Chain (@spotonchain) November 5, 2024
Repayment Could Spark Sell-Off
Over a decade ago, the collapse of Mt. Gox left creditors with over $9.4 billion in Bitcoin. Since then, Bitcoin’s price has jumped more than 8,500%, raising concerns that any large sale of these funds might put pressure on the market.
So far, however, most creditors have held onto their assets. In July, Mt. Gox returned 41.5% of its Bitcoin holdings about 59,000 BTC to creditors, many of whom chose to keep their coins.
MTgox BTC Holding
With over 44,000 BTC still in reserve, the market is watching closely for any major sell-offs that could affect the crypto space. This recent large transfer has sparked interest in Mt. Gox’s plans for its remaining assets and how it might impact Bitcoin’s price.
