- Reduction in Bitcoin Crash Risk
- Current Data on Mt Gox Wallets
- Forecasts and Factors Influencing Bitcoin Price
Risks associated with a potential Bitcoin price crash due to repayments by the Mt Gox crypto exchange have decreased by 75%, according to the analytics platform Arkham Intelligence.
Reduction in Bitcoin Crash Risk
Institutional and retail investors began offloading their Bitcoin holdings amid fears of a massive market crash as Mt Gox started repayments in July this year.
Current Data on Mt Gox Wallets
According to Arkham Intelligence as of August 24, Mt Gox wallets now hold less than 25% of their initial Bitcoin reserves. Mt Gox wallets, which held 141.69K BTC as of March 2024, currently hold 32.9K BTC worth $2.11 billion. Creditors have so far not sold their BTC holdings and are likely not to sell them due to the current bullish market sentiment.
Forecasts and Factors Influencing Bitcoin Price
Experts believe the only remaining significant risk for a massive Bitcoin selloff is the US government's liquidation of digital assets. It is forecasted that the path to a $100K Bitcoin price is becoming more apparent. Bullish sentiments in the crypto market have strengthened despite selloffs by the German government, the US government, and repayments by the exchange. Additional factors supporting the Bitcoin price rally include the anticipated 'Golden Cross' pattern formation and significant inflows into US-based Bitcoin ETFs.
Market crash risks for Bitcoin due to Mt Gox repayments have significantly dropped, contributing to positive investor sentiment and further price growth forecasts.
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