Mt Gox has triggered another intense speculation after moving close to $50 million worth of Bitcoin.
The crypto market is reeling from the latest activities from the defunct crypto exchange, Mt. Gox. Earlier today, the exchange transferred nearly $50 million worth of Bitcoin, sparking speculation among traders. Many wonder if this could start another market shakeup based on similar past events. The Mt. Gox transfer comes as Bitcoin struggles near critical support levels while traders and investors remain on edge.
Mt. Gox Bitcoin Transfers Continue to Rattle Markets
Blockchain analytics firm Arkham Intelligence revealed that Mt. Gox had shifted exactly $49.3 million in Bitcoin. The funds were split across multiple wallets. Reportedly, $19 million went to two new wallets, while $30.6 million was sent to a wallet tagged “1Mvm.”
JUST IN: MT GOX MOVING MORE BTC
Mt. Gox moved $49.3M in Bitcoin this morning, distributing $19M to two fresh wallets, and moving $30.6M into the final wallet 1MVm.
Mt. Gox currently holds $3.45B in Bitcoin. pic.twitter.com/B8mqhf7lLQ
— Arkham (@arkham) December 23, 2024
This is not the first time Mt. Gox has made headlines with related transfers this month. The exchange transferred $172.5 million worth of Bitcoin to three wallets earlier, sparking selloff concerns.
The transfer, recorded on December 17, came less than a day after Bitcoin reached a new milestone of nearly $108,000.
This came after the platform moved 2,324 BTC worth about $234 million to unidentified addresses. This move caused a 10% price drop and led to a massive $1.18 billion liquidation in the crypto market.
What’s Happening in the Market?
The latest transaction comes at a fragile time for Bitcoin. The crypto asset is trading at $93,649, down 1.96% in the past 24 hours, per market data. Even trading volumes have shrunk by 26%, showing reduced activity among investors and traders.
While this might indicate traders are cautious, the lower volume reflects less liquidity, exacerbating price swings. Bitcoin’s current position is critical. It has remained between $92,000 and $98,380 for the last few days.
If it falls below the $92,000 support level, experts believe it could tumble to $84,000, marking an 11.5% drop from current levels. The Relative Strength Index (RSI), a popular technical indicator, suggests some hope for bullish momentum as it approaches the oversold zone.
This signals the potential for a price rebound if buyers regain control. However, sentiment remains cautious. This is because the broader crypto market, already affected by economic uncertainty, is very sensitive to events that mean further selloff.
Mt. Gox’s influence remains a heavy burden for the crypto market. Although the exchange shut down in 2014 after a massive hack, the movements of its remaining assets still cause ripples. Additionally, Bitcoin’s dominance, which tracks its share of the total crypto market, has dropped slightly. This suggests investors may be moving towards other assets and signals a shift in market trends.
While the motive behind Mt. Gox’s large Bitcoin transfer remains unclear, MicroStrategy Inc (NASDAQ: MSTR), Marathon Digitals, and others openly express their intentions. From December 16-22, 2024, MicroStrategy acquired 5,262 BTC for $561 million, paying an average price of $106,662 per coin. This increased its total Bitcoin holdings to 444,262 coins, valued at $27.7 billion.
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