Shuttered cryptocurrency exchange Mt. Gox apparently transferred about $75.36 million worth of bitcoin to cryptocurrency exchange Bitstamp, in what appears to be a move to prepare for another round withdrawals to its creditors data from Arkham Intelligence’s chain analytics platform can be seen.
Broader Crypto Market Falls After Mt. Gox Bitcoin Transfers
The Japanese cryptocurrency trading platform transferred 1,264.71 BTC – worth $75.36 million – to a Bitstamp wallet address at 8:49 UTC on August 21, 2024.
The cryptocurrency market then saw mixed price action as Bitcoin (BTC) fell by 0.3% over the past 24 hours. In the same vein, other leading digital assets by market capitalization such as Ethereum (ETH) rose by a modest 0.1%, while BNB fell by 2.7%, Solana (SOL) plummeted by 1.8%, and XRP fell by a modest 0.3% over the same period.
Related: Mt. Gox Bitcoin Distribution Nears End After $2 Billion Move, How Much Left?
The total cryptocurrency market capitalization fell from $2.12 trillion to $2.06 trillion, a 2.7% decline over the past 24 hours. In terms of liquidations, Coin glass the data shows This A total of $87.80 million worth of liquidations was made in the last 24 hours.
Are we expecting another payment from a creditor?
It’s no wonder cryptocurrency traders get concerned when a significant crypto deposit appears on an exchange, and the $75 million BTC transfer to Bitstamp is no exception. However, unlike other random transfers, there is reason to believe that outgoing transfers may indicate that another creditor payment is on its way.
Interestingly, on August 20, 2024, the exchange also transferred 13,264 BTC – worth $784.20 million – to an unknown wallet. Details about the identity of the recipient remain unclear.
It should be recalled that the Mt. Gox trustees have designated Bitstamp as one of the cryptocurrency exchanges that will distribute outstanding payments owed to the creditors of the hacked cryptocurrency exchange. In July 2024, some of the creditors of the failed cryptocurrency exchange expressed joy because the long awaited withdrawal process has finally begun.
However, all is not well when it comes to paying out the exchange’s creditors, as cryptocurrency investors fear that the entire industry sale this could happen despite creditors’ assurances that they will keep their digital assets.
Despite growing concerns about a weakening price action due to creditor payouts, data from on-chain analytics provider CryptoQuant can be seen that Mt. Gox creditors who have had their money returned tend to HODL Bitcoin rather than dump it into the market.
Alex Thorn, head of research at Galaxy Digital, has excellent that probably most creditors believe in Bitcoin’s long-term prospects and have a “deep understanding” of the technology.
That said, the impact of the recent Bitcoin transfer from Mt. Gox on the digital asset market in the tiny to medium term remains to be seen. The exchange still holds over 34,000 BTC, valued at over $2 billion at the current market price.
Featured image from Unsplash, chart from TradingView.com
