Mt. Gox, once the world's largest Bitcoin exchange, has finally received compensation after 10 years of bankruptcy litigation and several delays. It is expected that Mt. Gox will pay 142,000 BTC and 143,000 BCH to creditors before October this year, which is also considered by the market to be the killer that brought down the recent trend of Bitcoin...
Mt. Gox announces start of repayment
Just yesterday (5th), Mt. Gox released documents showing that it has begun to repay debts to creditors through various cryptocurrency exchanges as planned. However, it is worth noting that Mt. Gox stated that due to the different cryptocurrency exchanges through which creditors receive repayment, the specific time when they receive repayment will also vary, such as:
- Kraken’s repayment time is 90 days;
- Bitstamp is 60 days;
- BitGo is 20 days;
- SBI VC Trade and Bitbank are both at 14 days.
Screenshots have been circulated on the community, indicating that Japanese creditors have received repayments of BTC and BCH; others have also stated that they have received cash repayments sent by international wire transfers.
Will Bitcoin selling pressure last three months?
Bitcoin has suffered a heavy decline this week, reaching as low as $53,269 yesterday (5th). Although it has rebounded to more than $56,000, if the entire compensation cycle of Mt. Gox may last three months, it may be Bitcoin brings longer selling pressure.
However, Dongzhong has also reported before that Galaxy Research Director Alex Thorn believes that the selling pressure on Mt. Gox will be less than expected for three reasons . Is this decline caused by creditors of Mt. Gox selling? Whether it is caused by market panic, it is difficult to say, so let us continue to observe.
Where is the support?
Judging from the intensive transaction area, the support level after Bitcoin fell below 54,000 US dollars is approximately around US$52,000. Therefore, it is not ruled out that the current rebound will reach the bottom again.
Titan of Crypto, an analyst in the community, also pointed out that Bitcoin is currently at the key 38.2% Fibonacci support level. If it can stand firm, it means that the bull market has not yet fallen below.
