Mt. Gox moves over $9 billion in BTC to new wallet

Mt. Gox moves over $9 billion in BTC to new wallet

By Benson Toti - min read
  • Bitcoin price dipped nearly 2% on Tuesday morning to trade at lows seen last Friday before rebounding slightly as of writing.
  • This BTC price decline came after the latest crypto news around defunct cryptocurrency exchange Mt. Gox. 

On May 28, Mt. Gox moved more than 141,000 BTC worth over $9.6 billion to a new unknown wallet.

Data shows the transfers happened in several transactions, with chunks of between 3,999 BTC and 32,499 BTC. The latest on-chain data shows all of the coins are now transferred to the new address.

As the market reacted to the news, Bitcoin price fell from highs of $70,000 to lows of $67,550. The flagship cryptocurrency’s price had however rebounded to above $68,000. BTC remains 4% down this past week.

BTC price and the Mt. Gox creditor repayment plan

Mt. Gox was once the crypto industry’s largest Bitcoin exchange before a 2014 hack saw it lose over 850,000 BTC. After years of waiting amid recovery efforts, creditors are set to receive reimbursements.

The process sees the defunct exchange move BTC from its cold wallets for the first in five years. According to the approved repayment plan, creditors should receive their bitcoins by October 31, 2024.

The bearish market reaction is down to the potential influx of fresh selling pressure on prices.

Analysts at K33 Research warned in April that the impending $9 billion Mt.Gox payout could catalyse downside pressure on Bitcoin’s price.

Despite this outlook, the market remains largely bullish on BTC price long term. Crypto analyst Miles Deutscher believes any dips amid the repayments could offer an opportunity to accumulate.