The defunct Mt.Gox cryptocurrency exchange has transferred $2.85 billion to new cryptocurrency wallets, including the Bitstamp exchange.
This was the latest tranche in movement recorded by the Mt.Gox exchange. The exchange’s Rehabilitation Trustee has been moving coins to reimburse those affected by the 2014 hack that forced it to file for bankruptcy.
Mt.Gox Moves $2.85B Bitcoin
During the recent movement of funds, the Mt.Gox address also moved some coins to the Bitstamp cryptocurrency exchange.
5110 BTC worth $340 million was moved to Bitstamo, while another $2.5 billion was moved to other wallet addresses. According to Arkham, Bitstamp is among the five cryptocurrency exchanges the Mt.Gox Trustee is working with to reimburse funds to creditors.
Data from the Arkham Intelligence online tracker shows that the exchange still holds 90,000 BTC valued at over $6 billion.
The recent transactions come around a day after Mt.Gox transferred small amounts of Bitcoin to Bitstamp. These were likely test transactions that the exchange conducted before moving a large amount of funds.
The Mt.Gox Rehabilitation Trustee started moving funds to repay creditors in early July. The exchange will distribute more than $9 billion worth of Bitcoin and $73M in Bitcoin Cash to traders.
News around Mt.Gox selling Bitcoin has previously created panic across the cryptocurrency market. This is because many expect the Mt.Gox traders to dump Bitcoin in the market once they receive their coins back.
Bitcoin Drops to $66K AMid Rising Inflows
The recent news around Mt.Gox selling Bitcoin has triggered panic across the cryptocurrency market. Bitcoin has dropped by around 1.3% in the last 24 hours to trade at $66,512 as of 07:33 a.m. EST.
The Bitcoin Relative Strength Index (RSI) level stands at 41, showing sellers are behind the current price drop. This selling pressure stems from the news around the Mt.Gox reimbursements.
Despite the recent price decline, Bitcoin remains at a monthly high. Moreover, the Bitcoin Fear and Greed Index has yet to drop to reflect the negative sentiments in the market. This index, which shows market sentiment, is currently at 71, showing a state of “greed,” a bullish indicator.
The news around Mt.Gox selling has also been countered by the rising inflows into spot Bitcoin exchange-traded funds (ETFs).
On Monday, the BlackRock iShares Bitcoin Trust (IBIT) ETF posted massive inflows of $526 million, marking the fund’s single-largest day of inflows since March this year.
The total inflows into the nine ETFs totaled $530 million, marking a multi-week high. The IBIT ETF accounted for over 98% of the inflows into Bitcoin ETFs on July 22.
