Just as Bitcoin rises to $66k, Mt Gox readies a 9 billion dollar transfer

Bitcoin rose rapidly this week, in what can safely be called the ‘Trump rally’, and even briefly touched $66,000 (knowing that it hit a level some $10,000 lower last week that is quite the rally). In the four days since the failed assassination attempt on the former president, Bitcoin rose about 15% as investors are convinced that he would now also win the elections, which would be very positive for Bitcoin.

Transfers

Unfortunately, sentiment was temporarily slowed on Tuesday afternoon when the Mt Gox crypto wallets made some large transfers, worth billions of dollars in value of course.

It is uncertain when Mt Gox’s former customers will be paid out and at what price, but the transfer information is putting the market on edge again.

Kraken Says Sucessfully Received Funds From Mt. Gox Trustee, Will Work to Distribute Within 7 to 14 days: Email Sent to Affected Users pic.twitter.com/OnCp8a7siM

— Tree News (@News_Of_Alpha) July 16, 2024

Of course, we’ve all known for a long time that the Mt Gox refunds were coming, but it is unfortunate that the large amounts will be transferred just as Bitcoin was recovering after weeks of being in a downward trend.

TODAY: $5.8B MT. GOX BTC ON THE MOVE.

Mt. Gox wallets moved a total of 91,755 BTC ($5.8B) this morning to new addresses. pic.twitter.com/BEAmk6E70b

— Arkham (@ArkhamIntel) July 16, 2024

Mount Gox was the largest Bitcoin exchange in the world back in 2013, when the largest crypto coin traded for $100 or so.

But in early 2014, the platform went bankrupt due to a mysterious hack. Ever since then, creditors had to wait for any form of repayment due to the ongoing lawsuits in Japan. On July 4, 2024, Mount Gox finally started repaying its debts, fueling fears of a massive sell-off among creditors who had been waiting for repayment for a decade (and are now all millionaires thanks to Bitcoin’s appreciation in that decade).

After some smaller amounts in recent months, the platform now appears to be preparing to transfer billions to former customers. Given the large amounts of Bitcoin that are about to hit the market, this could of course affect the price.