Analyst Suggests Potential Sale of Up to 99 of Mt Goxs 82 Billion Worth of Bitcoin

Most of the Bitcoin being repaid by defunct exchange Mt. Gox will likely be sold, threatening to cause more downside pressure on the price of Bitcoin.
The Mt. Gox repayments could add $8.2 billion worth of additional selling pressure to the Bitcoin (
BTC
) price, according to finance analyst Jacob King.
The analyst said that onchain movements already point to the fact that Mt. Gox’s creditors have started selling. King wrote in a July 4 X
post
:
The gloomy prediction comes hours after
Mt. Gox began repaying
its debts in Bitcoin and Bitcoin Cash (
BCH
), the collapsed
crypto exchange
announced on July 5.


Mt. Gox BTC distribution preview. Source: Jacob King
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Will Mt. Gox send Bitcoin back into bear market territory?
The predictions raise concerns about the price of Bitcoin, which has been struggling to gain traction for over a month and is currently trading above the $60,000 psychological mark.
Bitcoin has been in a downtrend for the entire month of June, logging a nearly 18% loss during the second quarter of 2024.
However, the market selling by Mt. Gox’s creditors could potentially take Bitcoin back into bear market territory, according to the analyst:
The Bitcoin price fell 3.9% in the 24 hours leading up to 10:17 am UTC on July 5 to trade at $55,250. The world’s first crypto is down over 10% on the weekly chart,
according
to CoinMarketCap data.


BTC/USDT, 1-month chart. Source: CoinMarketCap
Despite the potential selling pressure, the repayments are a positive development for the industry and the defunct exchange’s users. This sentiment is echoed by Mark Karpelès, the former CEO of Mt. Gox, who highlighted this in a July 5 X post:
Despite the potential selling pressure, the repayments come as a positive for the industry and the exchange’s defunct users, as also highlighted by Mark Karpelès, the former CEO of Mt. Gox. He wrote in a July 5 X
post
:
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Up to 99% of Mt. Gox creditors could be selling, according to the analyst
More than $9.4 billion worth of Bitcoin is owed to approximately 127,000 Mt. Gox creditors who have been waiting for over 10 years to recover their funds.
Considering that the Bitcoin price increased by over 8,500% during the past 10 years, the majority of defunct creditors will likely look to lock in some profits.
This is partly why King also expects around 99% of the creditors to sell their BTC. He wrote:
The Mt. Gox scam and Japanese crypto regulation | Cointelegraph Documentary. Source: Cointelegraph
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