Will Mt. Gox Crash Bitcoin (BTC)? Host of Coin Bureau comments on potential crypto crisis
A well-known crypto analyst sheds light on the potential impact of Mt.Gox’s upcoming bankruptcy payments on Bitcoin (BTC) value.
The now-defunct Mt. Gox collapsed in 2014 after being hit by an attacker who stole 850,000 bitcoin, worth about $500 million at the time.
Mt. Gox’s trustee announced in July that the defunct exchange plans to soon make repayments to former customers under its bankruptcy rehabilitation plan, fueling fears that BTC could flood the crypto market.
But the pseudonymous host of YouTube show Coin Bureau says he doesn’t think the paybacks will have a major impact on Bitcoin’s price.
“Many people fear that this could create a lot of selling pressure, which would obviously drive crypto prices lower. Well I personally don’t think this is too big of a problem, at least it’s certainly not something I’m particularly concerned about.
And there are a couple of reasons for that. First, I’m pretty sure a lot of this BTC was bought from these Mt. Gox users a while back by institutions, whales, and other wealthy investors for probably pennies on the dollar. So by the time that BTC is finally unlocked, it will in fact already have been bought by these other companies.”
The analyst also believes that since Bitcoin is so far below its all-time high, the majority of holders will choose to hold on to their BTC. He predicts the market will withstand “a little selling pressure,” but not by a worrying amount.
I
Don’t miss a thing – Sign up to receive crypto email alerts straight to your inbox
Check the price action
Follow us on Twitter, Facebook and Telegram
Surf the Daily Hodl Mix
Check the latest headlines
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any risky investments in Bitcoin, cryptocurrency or digital assets. Please note that you transfer and trade at your own risk and any losses you incur are your responsibility. The Daily Hodl does not recommend the purchase or sale of cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured image: Shutterstock/FOTOGRIN
Learn Crypto Trading, Yield Farms, Income strategies and more at CrytoAnswers
https://nov.link/cryptoanswers
Comments are closed.