(Wednesday 03 July 2024, 08:18 AM GMT):
In the last 24 hours, the cryptocurrency market has seen a dip in Bitcoin (BTC) prices, dropping by 2.79% from a high of $63,000 to $60,837. This downturn is raising concerns among investors, fueled by recent insights from QCP Capital, one of Singapore’s leading digital asset trading firms.
QCP Capital has highlighted a significant worry: the upcoming distribution of Bitcoin by Mt. Gox. This could potentially put downward pressure on the market. They stated, “The release from Mt. Gox, which is expected to start this week, could continue to put pressure on the market with as many as 140,000 Bitcoins, especially since the exact release schedule is still unknown.”
Mt. Gox, a once-prominent Bitcoin exchange, will be distributing nearly $9 billion worth of Bitcoin (142,000 BTC) to its creditors between July and October. However, the lack of a precise timeline for this distribution is causing unease. Investors fear that the sudden influx of such a large amount of Bitcoin could lead to a significant drop in its value.
This uncertainty is contributing to a growing bearish sentiment in the market, with potential implications for Bitcoin’s performance in the coming months. As investors brace for the impact of this distribution, the market could experience further volatility.