Bitcoin (BTC) may see another “bearish signal” in the coming days as the Mt. Gox saga is entering its final – potentially expensive – phase.
As noted by on-chain analytics resource CryptoQuant on December 8, the defunct exchange Mt. Gox’s payout deadline is only a week away.
Mt. The deadline for rehabilitation of Gox looms
After multiple delays, creditors of Mt. Gox who lost money in its 2014 implosion will know when they will receive BTC on December 15th – and the temptation to sell for profit could prove too great to avoid a massive run on exchanges.
Set Mt.Gox outflow alarm. Manage Your Risk, ”CryptoQuant CEO Ki Young Ju Twitter followers warned.
Mt. Gox was the best known cryptocurrency exchange until it was hacked for funds including 860,000 BTC. After years of legal struggles, a rehabilitation program will distribute approximately 140,000 BTC to creditors.
Since Mt. Gox’s website went offline in February 2014, Bitcoin has skyrocketed in value meaning the rehabilitation program funds are now worth $ 2.63 billion.
As CryptoQuant points out, that translates into a lot of potential selling pressure. With about 28,000 BTC mined each month, the pull equates to about five months of supply.
“It could be a bearish signal of $ BTC if 150,000 BTC is delivered to the market …” reads another tweet.
Disrupt the creepy Bitcoin calm
The past week was marked by low activity in Bitcoin markets, as BTC / USD is entering a period of consolidation after rampant volatility.
Proponents are using the postponement to double their positions, with MicroStrategy announcing a round of fundraising for $ 400 million more BTC with the next purchase.
Other business buyers, including investment giant Grayscale, also continue to raise funds.
Such as Cointelegraph reported, meanwhile, aside from Mt. Gox, macro events will also affect Bitcoin’s price action this week.