Bitcoin Experiences Turbulence After Mt. Gox Cold Wallet News

Cold wallets tied to Mt. Gox, the crypto exchange that was hacked in 2011 and went bankrupt three years later, transferred about $9.6 billion in BTC on Monday – contributing to a drop in the crypto’s value

Coin Desk reported that there were 13 transactions involving the transfer of over 140,000 BTC. The report noted that Mt. Gox was once the biggest exchange in the world but was undone by a hack.

Joshua Lim, the co-founder of Arbelos Markets, told The Block that an anticipated increase in cryptocurrency supply could slow recent gains for the coin.

“We’re seeing sellers of options emerge after the recent resolution of a number of major industry-specific catalysts, such as the spot bitcoin ETF launch, the halving, and the SEC’s spot ether ETF decision, likely market participants are pricing in a more sedate range-bound market this summer because of the supply from Mt. Gox and the FTX estate and overhang from SEC enforcement actions,” Lim said.

Miles Deutscher, a popular crypto analyst, posted on X that the creditor repayment deadline for Mt. Gox is 31 October.

“Personally I’m not worried – the market has known about the repayments since January, after they asked creditors for final information,” he posted. “Although there is bound to be some sell pressure, I still view any associated FUD (fear, uncertainty and doubt) as a solid chance to accumulate. Might do a longer post on this later with the exact $ estimates.”

Google Chart as of 3 p.m. PT on Tuesday.

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