Mt. Gox, the defunct crypto exchange, has transferred 11,833.6 Bitcoin, worth approximately $931 million, to new addresses, sparking fears of potential sell-offs.
According to on-chain data from Arkham Intelligence, the Bitcoin transfers, which took place on Mar. 11, saw 11,501.58 Bitcoin (BTC) (~$905 million) moved to an unidentified wallet, while 332 BTC (~$26.1 million) was transferred to a warm wallet.
This follows a string of recent actions by Mt. Gox, such as the transfer of more than $1 billion in Bitcoin to a wallet with the name “1Mo1n” on Mar. 6. Today’s transactions were made by that wallet, which is now recognized as an official Mt. Gox address. Mt. Gox still holds about 35,915 Bitcoin, which is worth about $2.85 billion.
Historically, concerns about possible sell-offs have caused market reactions to transactions involving Mt. Gox, even though the influence of such transactions has been waning over the years.
While today’s transfers have not had an immediate impact on Bitcoin’s price, traders remain cautious. The market faces the threat of increased selling pressure as a result of potential creditor repayments.
Mt. Gox has been going through a protracted bankruptcy process after losing more than 800,000 Bitcoin in its 2014 collapse. Many creditors are still awaiting payouts in BTC, even though some have already received cash repayments. Last year, the repayment deadline was extended to Oct. 31, 2025, delaying potential liquidation events.
Meanwhile, Bitcoin’s retail sentiment has turned bearish, with traders reacting to its seven-week decline. Social media discussions of lower Bitcoin price expectations have surged, according to a Mar. 11 market analysis by Santiment, and this is frequently a sign of smaller investors capitulating.
However, Santiment notes that market recoveries have been preceded by such sentiment changes in the past. Bitcoin is currently down 4% over the last 24 hours, trading at about $79,000.
According to BitMEX co-founder Arthur Hayes’ Mar. 11 post on X, Bitcoin may bottom near $70,000, which would be consistent with previous bull market retracements. Hayes suggested that central bank action combined with additional declines in the stock index may influence Bitcoin’s next significant move.
