Mt. Gox has made headlines again, moving over 20,000 BTC (worth over $2.0 billion) among its wallets on December 5. These transfers coincided with Bitcoin’s historic surge above $100,000, reaching an all-time high of $103,900.47.
Despite being described as an “internal transfer,” this activity has fueled speculation about its connection to ongoing creditor repayments. Adding to the intrigue, Mt. Gox still holds 39,878 BTC (worth over $4 billion), according to data from Arkham Intelligence.
source: Arkham Intelliegence
These transfers come amidst repayment discussions for Mt. Gox creditors, many of whom have been awaiting their funds for nearly a decade. The situation remains complex, as some analysts suggest these movements could create bearish sentiment, while others believe the market has already priced in these potential sell-offs.
This strategic yet enigmatic activity by Mt. Gox has rekindled concerns about the impact of large-scale Bitcoin movements on market stability, particularly as the cryptocurrency continues to smash historical price records.
Mt. Gox’s history: Past transfers and market reactions
Historically, Mt. Gox-related transfers have triggered significant market responses.
After its collapse in 2014 following hacks and the loss of 850,000 BTC, the exchange’s remaining assets have been managed under legal supervision. Earlier payouts and movements often led to speculation about sell-offs by creditors, sometimes causing price volatility.
However, analysts argue that the market may now be better prepared. The repayment processes have been ongoing for years, and many creditors have indicated they intend to hold their Bitcoin rather than sell.
However, such large movements remain uncertain for traders wary of sudden sell-side pressure.
Fed Powell reignited the rally in Bitcoin
Bitcoin’s ascent to $100K reflects growing optimism in a changing regulatory landscape.
President-elect Donald Trump’s pro-crypto policies and the nomination of Paul Atkins as SEC Chair signal positive shifts. Additionally, Outgoing Federal Reserve Chairman Jerome Powell’s comparison of Bitcoin to gold has reinforced its status as a store of value.
“It’s just like gold, only it’s virtual, it’s digital. People are not using it as a form of payment or as a store of value. It’s highly volatile. It’s not a competitor for the dollar, it’s really a competitor for gold,” Powell commented.
Comparing Bitcoin to gold was sufficient to send the price higher along with multiple cryptocurrencies. Blockchain stocks may benefit from the recent uptick in Bitcoin. Riot Platforms, for example, is up +7.81% at the time of this writing.
Institutional interest, a supply-demand imbalance, and macroeconomic trends have further driven prices upward. But despite the bullish environment, experts caution investors to remain vigilant against excessive speculation and leverage.
