Bitcoin

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Billion

Bitcoin has recently shown a 4% increase, reaching around $63,350, which is a positive recovery from its losses earlier in June. Despite this upward movement, there’s caution in the air among investors regarding Bitcoin and the wider crypto market. 
The concern stems from Mt. Gox, a once-major crypto exchange that collapsed ten years ago after a significant hack. This week, Mt. Gox will begin distributing Bitcoin repayments to creditors who have been waiting years for compensation. At today’s prices, creditors are set to receive approximately $9 billion worth of Bitcoin. 
Back in 2011, Mt. Gox lost about 950,000 bitcoins in a hack, a substantial amount when Bitcoin was valued at around $32 per BTC. Although about 140,000 bitcoins were recovered later, they are now worth around $9 billion due to Bitcoin’s remarkable increase in value. 
<a href="https://www.cryptotimes.io/2024/06/24/mt-gox-to-start-bitcoin-bitcoin-cash-repayment-in-july/" target="_blank" rel="noreferrer noopener">Starting from July</a> and extending to October, Mt. Gox creditors will receive 142,000 bitcoins. This process, estimated at $9 billion, might see initial sales by some creditors this month, potentially impacting the crypto markets. 
JPMorgan analysts anticipate this could lead to some market pressure, particularly noting a slight decrease in their Bitcoin futures position indicator, which mostly involves retail rather than institutional investors selling off crypto assets recently. 
Looking forward, analysts foresee a market recovery beginning in August, partly influenced by upcoming repayments from another bankrupt crypto exchange, FTX. FTX is expected to repay its creditors with an estimated $14 billion to $16 billion in cash shortly after finalizing its wind-down plan in early October. 
These repayments could inject new funds into the crypto markets as crypto-native creditors consider reinvesting in digital assets, potentially stabilizing and supporting market conditions. 
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow"> 
 Also Read: <a href="https://www.cryptotimes.io/2024/07/01/bitcoin-atm-installations-hits-38k-reach-near-all-time-high/" target="_blank" rel="noreferrer noopener">Bitcoin ATM Installations Hits 38K Reach Near All-Time High</a> 
</blockquote>

Mt. Gox $9 Billion Repayment Triggers Bitcoin Sell-Off Fears

The Crypto Times

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