Mt. Gox Transfers $9B Bitcoin, Ignites Market Speculation

• 1 Bitcoin plunged after Mt. Gox transferred $9 Billion BTC to an unknown wallet.
• 2 The market turned bearish after the news broke out and plunged 1.5%.

Mt. Gox, the defunct Bitcoin exchange, transferred over 140,000 bitcoins worth around $9 Billion to an unknown address. The wallet data shows it takes thirteen transactions. All the Mt.Gox’s gathered a single BTC wallet. This transfer is possibly part of a plan to repay creditors by October 31, 2024. 

The market reacted bearishly to these movements, with Bitcoin dropping by 1.5%. This is the first movement of assets from Mt. Gox’s cold wallets in over five years.  

CryptoQuant’s Head of Research, Julio Moreno, mentioned in a post that outflows from Mt. Gox addresses are ongoing. A total of 42,829 Bitcoins have been moved from Mt. Gox addresses in the last few hours. All coins have been transferred to a new address: 1JbezDVd9VsK9o1Ga9UqLydeuEvhKLAPs6.

The transferred Bitcoins are likely to be held by creditors instead of being sold on the open market.

Social Volume vs. Social Dominance 

Social dominance and social volume are in decline. Since March 2, 2024, the social metrics of the coin have continued to decline, indicating that Bitcoin discussions are less in May compared to March.

Bitcoin’s low social volume and social dominance demonstrate that it has low media coverage on social platforms like X, Reddit, and others.

Bitcoin Price is Showing Weakness

Bitcoin is struggling to break through the $71,000 mark, indicating some weakness in its price. However, there is an increased possibility of a breakout as the trading volume decreases and the resistance level is tested multiple times.

On the daily chart of the king crypto BTC, the Exponential Moving Averages (EMAs) suggest an uptrend, with a significant deviation between the 50-day and the 200-day EMAs. The EMAs also showed a golden crossover, indicating bullishness.

The Moving Average Convergence Divergence (MACD) indicator is strongly bullish, with the MACD and the signal line consistently remaining above the bullish trajectory in a bullish crossover.

The Relative Strength Index (RSI) is also bullish, with the indicator’s value consistently staying above the 50-level for an extended period and following a bullish cycle.

When writing, the Bitcoin stands at $68532 with an intraday drawdown of 1.50%. Market cap of BTC at press time stood at $1.35 Trillion.

Ritika Sharma

With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.