Bitcoin

Mt Gox’s Move Could Cost the Crypto Market Dearly

Mt Gox’s Move Could Cost the Crypto Market Dearly

Mt. Gox, which is now totally dead has moved out 16,000 worth of Bitcoins and 16,000 worth of Bitcoin Cash from cold wallets. The question that could change prices overnight due to the large volumes being moved out remains unanswered. Have the Bitcoins and Bitcoin Cash merely been transferred from one wallet to another or sold off in the market?

Mt. Gox was one of the largest Bitcoin intermediaries and the world’s leading Bitcoin exchange in 2013-2014. It was handling almost over 70% of all Bitcoin transactions worldwide. However, in April 2014 turmoil struck when Mt. Gox started liquidating when 850,000 Bitcoins belonging to clients and the company were stolen.

Many Mt. Gox creditors continue to promote moving away from bankruptcy for the company and into civil rehabilitation. It will ensure that they are compensated with $480 per BTC which was the rate when Mt. Gox filed bankruptcy.

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What needs to be noted is a recent moving of 16,000 Bitcoin (BTC) and 16,000 Bitcoin Cash (BCH) from the wallets under the control of Mt Gox’s bankruptcy trustee Nobuaki Kobayashi.

According to CryptoGround, the monitoring of Mt. Gox shows that Bitcoins have been removed from four separate addresses leading to 0 BTC remaining in each of the wallets.

The total value of Bitcoin is $144 million, and Bitcoin Cash is $21.7 million which is being moved to a single BTC and BCH address. However, the question that everyone wants to know is if these moved coins were sold or just transferred.

Judging by history, the last time a sell-off happened from Mt. Gox the prices of Bitcoin fell as low as $6000. It was done from December through February and was approximately half a billion dollars worth of Bitcoin and Bitcoin Cash.

At the time of writing, Bitcoin is trading around the $9280 mark, and Bitcoin Cash is around the $1390 range.

If a selloff has happened, the Bitcoin and Bitcoin Cash prices could come back tumbling down similar to the beginning months of 2018. A 50% decline in market value was seen the last time around.

April has so far been a bullish market compared to the remaining months of 2018 and Mt. Gox could change this entirely depending on whether it was a sell-off or not.

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Amrit Mirchandani,  A hustler, who believes there is a solution to every problem. A strong believer of Blockchain and a Cryptocurrency enthusiast!
Currently living in the Digital Hub of India, Pune and an extremely friendly and optimistic person. Born and raised in the beautiful island of Sri Lanka and have run businesses ranging from Agriculture to the Digital World. I have had crazy Experiences in Asian Busy towns like Mumbai and Kuala Lumpur to African nations such as Madagascar.