Bitcoin Today 08/21/2024: Mt Gox causes BTC to fall again

The transfer of more than 13,000 Bitcoins (BTC) from wallets linked to the now-defunct Mt Gox has once again caused tension in the market. According to CoinGecko, the price of BTC fell to US$ 59,300, a loss of 2.4% this Wednesday (21).

This drop caused the cryptocurrency to accumulate losses of 12% in August. If the result is confirmed, BTC will end a three-year streak of declines in the month. The cryptocurrency’s last appreciation in August occurred in 2021, when BTC rose 13.2%.

As a result of BTC’s decline, the market as a whole has seen heavy losses. In the top 10, Ethereum (ETH) has fallen 2.8% in the last 24 hours to $2,581. Like BTC, ETH has not seen a monthly gain since August, after a 35% gain in 2021.

Refunds continue

Mt Gox is once again moving BTC, according to data from wallets linked to the exchange. This time, the movements reached 13,265 BTC, worth US$784 million. The amount was sent to two unknown wallets.

On the other hand, Bitcoin bulls have been showing weakness as BTC price has lost the crucial $60,000 support level.

Data from Arkham Intelligence shows that Mt Gox transferred $709.44 million worth of BTC to the address “1PuQB…nWhTb” and another $74.77 million worth of BTC to the address “1Jbez…LAPs6.”

Unlike the other transfers, these addresses are not associated with any exchange. But Arkham’s data shows that Mt. Gox moved 1,264.71 BTC to Bitstamp, worth $75.36 million. During the last month of July, the exchange transferred 95,523 to other brokers, totaling US$ 6.14 billion

As of this writing, Mt. Gox still has 46,164 BTC in its wallets, worth $2.74 billion based on Bitcoin’s price on Wednesday (21). According to previous reports, the Japanese exchange will likely complete the refund process by the end of this year.

Rejection at $60,000

While Mt Gox’s moves continue, there is still pessimism about the chance of eventual BTC sell-offs. Therefore, buyers continue to fight to keep the price above $60,000.

With miner capitulation almost over, investors are hoping for a post-halving BTC rally. On the other hand, Bitcoin whales have continued to accumulate during dips, which could bolster the rally.

But in the short term, Bitget analyst Fernando Pereira warns that the moment is still delicate. “The biggest resistance in the price at the moment is the 20-period moving average, which is blank on the chart. We can only think of further increases if the price manages to break it. It is very risky to buy below it,” he explained.

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