Mt. Gox News Alert: $3.15 Billion Bitcoin Move Sparks Massive BTC Price Swings!

The post Mt. Gox News Alert: $3.15 Billion Bitcoin Move Sparks Massive BTC Price Swings! appeared first on Coinpedia Fintech News

As the cryptocurrency market braces for the Federal Open Market Committee (FOMC) meeting on July 31, all eyes are on Bitcoin’s price stability. Amid this backdrop, the defunct crypto exchange Mt. Gox has moved a significant amount of Bitcoin, raising concerns about a potential selloff. 

As long-term holders sell BTC, the market is in a state of confusion. The FOMC meeting has caused a panic, and the moves made by Mt. Gox are sending big waves through the already unstable crypto environment. 

Let’s find out what will determine Bitcoin’s next move!

Mt. Gox Transfers $3.15 Billion in Bitcoin

In a recent development, Mt. Gox shifted 45,511 Bitcoins, valued at $3.15 billion, to three different wallets as per Spot on Chain. This move is seen as part of the ongoing process of repaying creditors. Since early July, the exchange has transferred 61,559 BTC worth $3.88 billion to various exchanges, including Kraken, Bitstamp, and SBIVC, for creditor distributions. 

Some creditors have faced issues receiving their payouts from Kraken despite completing identity verification.

Impact on Bitcoin Price

Despite these massive transfers, Bitcoin’s price has shown remarkable stability, holding around $66,000 with a minor dip of 0.5%. The price had previously faced strong rejection at $70,000. Investors are now keenly awaiting the FOMC meeting, expecting the Fed’s commentary on inflation and economic growth to guide Bitcoin’s next move.

Market Sentiment

The broader market indicates a substantial negative gamma between $65,000 and $70,000, suggesting potential volatility as Bitcoin options approach expiry on August 2. BloFin, a crypto analytics firm, anticipates intensified volatility around this period. Plus, Bitcoin whales have been on a strong buying spree despite the current price drop, signaling confidence in Bitcoin’s long-term value. 

Though Mt.Gox creditors are still holding their assets, the immediate sell-pressure is not expected with this latest move of Mt. Gox. As of now, the market looks stable with a possible breakout in November if Donald Trump wins the election. 

Looking Ahead

As Mt. Gox continues to move large quantities of Bitcoin for creditor repayment and with the FOMC meeting just around the corner, the cryptocurrency market is poised for significant activity. The combination of macroeconomic indicators and strategic moves by large Bitcoin holders will play a crucial role in shaping the market’s direction in the coming weeks.

Bitcoin is heating the market. Buy, Sell, or Hold! What are your investments saying?