The world’s largest cryptocurrency Bitcoin (BTC) has come under pressure with crypto exchange Mt. Gox distributing the Bitcoin to creditors on crypto exchange Kraken. The Bitcoin price is down by an additional 2.37% slipping under $66,000 as of press time.
Mt. Gox Distribution – Key Bitcoin Levels to Watch
Cryptoquant CEO Ki Young Ju reported that the Mt. Gox creditors received their BTC on Kraken a few hours ago. However, despite this distribution, there’s no major surge in the hourly spot trading volume dominance or BTC outflows on Kraken. Ju said that this initial lack of market disruption is a positive sign for Bitcoin.
Courtesy: CryptoQuant
As per the latest data from Arkham Intelligence, Mt. Gox moved a total of 37,477 BTC worth $2.5 billion 30 minutes ago. Since July 5, Mt. Gox has transferred a total of 52,549 BTC ($3.31B) to Bitstamp, Kraken, and Bitbank for repayment
Amid today’s correction, the Bitcoin price has slipped under the average purchase price of $66.5k for holders who have held BTC for 1-3 months. As per CryptoQuant, as BTC breaks this crucial support level, the attention should shift to the 3-6 month holder average purchase price range of $63.6k.
Also, the spot Bitcoin ETFs saw its first outflow after 12 consecutive days of inflows. On tuesday, July 23, the spot BTC ETFs saw a total of $78 million in net outflows.
Also Read: Mt Gox Moves $2.8B In Bitcoin
BTC Deposit Addresses on Decline
The on-chain data from CryptoQuant also shows that there’s a substantial decrease in the total deposit addresses for BTC across all exchanges, reaching a low of 250,000. This reduction in the deposit addresses highlights a major shift in the Bitcoin holding patterns among investors.
This drop in the total number of addresses ready to sell Bitcoins suggest that most holders prefer to retain their assets with the expectation of further price surge. Thus, this behavioral trend highlights a growing confidence among Bitcoin investors.
A decreased willingness to sell assets could reduce the overall Bitcoin supply in the market. With steady or increasing demand, this scarcity may drive up prices, signaling a bullish outlook and indicating expectations of higher future values.
Courtesy: CryptoQuant
While the BTC price is once again facing selling pressure, analysts noted that it must continue to hold above $65,000 to avert any major pullback from here. with the arrival of the spot Ethereum ETFs, it will be interesting to see whether the focus shifts to Ethereum.
Also Read: Bitcoin Price To Hit $70,000 With $485M BTC ETF Volume
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Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
