Mt. Gox Moved Another $6B to Exchanges, and the Crypto Market Is Reeling

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Mt. Gox has transferred 91,755.68 $BTC ($6B) to two wallets (presumably exchanges) in the last 24 hours.

According to an official Mt. Gox payment tracker, the creditors haven’t received payments on Kraken or BitGo yet. However, all indicators seem to suggest it’s only a matter of time before they do.

Bitcoin has dropped by 0.91% in the last four hours, with Ethereum following a similar pattern. This shows the crypto market’s acute sensitivity to the Mt. Gox situation.

With the US national debt allegedly rising by $1T every 100 days and Larry Fink embracing Bitcoin as a ‘legitimate financial instrument,’ where are Bitcoin and the crypto market headed?

Let’s unpack this news and see whether we should celebrate or worry.

Mt. Gox Creditors Aren’t Selling Their Bitcoins and Crypto Thrives

After Mt. Gox announced its $BTC repayments at the end of June, crypto predictions became near-apocalyptic, with Eric Balchunas, a senior ETF analyst at Bloomberg, saying ‘that’s like over half of all the ETF inflows being negated in one shot.’

While the crypto market did sink temporarily, the past few days have been kind to Bitcoin. The crypto is up by 10.77% in the last week, especially after Donald Trump’s failed assassination attempt.

Bitcoin is currently above $65K, with a market cap of $1.28T (+3.56%) and a $39.18B trading volume in the last 24 hours (+2.81%).

The meme coin market is also benefiting from the current context, with significant weekly gains:

Despite the recent hourly slump (with losses between 1% and 8%), the crypto market is mostly green, with CoinMarketCap’s Fear & Greed Index almost in the ‘greed’ area.

‘Mt. Gox FUD is overestimated,’ Says CryptoQuant CEO

Ki Young Ju, CEO of CryptoQuant, continues his crypto bullish stance on X, saying that the Mt. Gox repayments won’t significantly impact Bitcoin, even with Germany’s large Bitcoin sell-off.

He also hinted that the previous Bitcoin crashes were opportunities in disguise. During the market-wide panic sell-offs, some investors played it smart and bought the Bitcoin dips, which paid off considering Bitcoin’s current price.

He further says that speculative FUD is Bitcoin’s only weakness. This seems to be true, as the king of crypto has always recouped its losses, even after severe market crashes (like the FTX fiasco).

Conclusion – Another Bitcoin Crash or Just a Market Fizzle?

We haven’t seen any significant indication of a crash. Quite the opposite – Bitcoin has increased by 3.74% in the last day and 0.28% in the last hour.

While the 24-hour crypto market volume is down 1.06%, the market cap has increased by 3.58% in the last day, showing strong bullish potential.

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