Mt. Gox Bloodbath Continues

Bitcoin prices fell to three-week lows of around $8,540 on May 11, as markets reacted to a fresh Mt. Gox funds liquidation.

Two weeks ago, Mt. Gox had moved 16000 BTC from their cold storage account to various accounts, moving 2000 BTC eight times to several accounts, and just a few hours ago, it happened again. Market commentators feel the last transfer to be more suspicious than the previous ones as the current total of 8200 BTC was moved into one account, unlike previous transfers.

Executives in charge of refunding users of former Japanese exchange Mt.Gox have evidently sold a new chunk of about 8,000 BTC in four batches of 2,000 BTC. The transactions were sent to the address 1LncfoCX1yzuiW3hzejarvgZ1WahnAQ4o4 and totalled 8,214.97084 BTC, which was worth around $76.7 Million at press time. The transactions from the Mt. Gox cold wallets occurred in the early hours of the morning of May 11 in Europe, and 11 pm EST in the US. The dip in the market took place right after the transfer.

Despite the fact that the court meeting is to be held in September and Mt. Gox wasn’t allowed to sell off the remaining Bitcoin [BTC] and Bitcoin Cash [BCH],  24214.9708 BTC in total has been moved out from the cold storage wallet since the past few weeks.

Financial analyst Andy Hoffman’s tweet read

“Ah, so here’s the answer! Another 24,000 BTC moved from the Mt Gox Trustees wallet yesterday morning, just before prices dumped, taking his total down to 137k. As usual, Bitcoin down for NON-FUNDAMENTAL REASONS”

Mt. Gox was the biggest Bitcoin exchange platform around the globe and was known to have been handling over 70% of the Bitcoin transactions in the world. But the exchange platform had to declare bankruptcy in the year of 2014 after they lost 7% of Bitcoin worth up to $474 million.