Bitcoin has fallen below the $60,000 mark for the first time since early May, as reported by CoinGecko data. This decline coincides with the impending disbursement of funds by Mt. Gox creditors, adding to market uncertainties.
The Mt. Gox trustee’s announcement on Monday regarding the commencement of creditor repayments next week is expected to introduce significant selling pressure, potentially destabilizing the cryptocurrency market further. Mt. Gox, a longstanding issue in the cryptocurrency sphere, holds over $9.4 billion in Bitcoin owed to approximately 127,000 creditors.
The distribution of such a substantial amount could amplify market volatility, already compounded by other recent developments. Notably, German authorities recently sold $325 million worth of Bitcoin, part of a larger $3 billion holding, further contributing to current selling pressures.
According to CoinGlass data, over $335 million in Bitcoin was liquidated in the 24 hours leading up to 1:30 p.m. ET, with nearly $300 million originating from long positions.
These factors underscore the current challenges facing Bitcoin and highlight the potential for continued volatility in the cryptocurrency markets in the near term.
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