Bitcoin Faces Price Pressure
In July, Bitcoin traded below $60,000 due to Germany’s sell-off and the return of Bitcoin to former Mt.Gox clients. The combined distribution amounted to 100,000 BTC worth $6 billion.
Next Phase of Distribution
According to Arkham Intelligence, Mt.Gox is preparing for the next phase, sending test transfers to Bitstamp addresses. The first phase was done through Kraken. In total, 90,000 BTC worth $6.1 billion remains to be returned.
Market Impact
The potential impact on Bitcoin’s price depends on whether recipients cash out. Analysts predict 99% of clients might take profits. This is because every $100 on their accounts has grown to $3,300 despite losses from hacks.
Short-Term Influence
Mt.Gox’s influence will be short-lived as demand for Bitcoin remains high. Last week, crypto funds attracted $1.4 billion, with 95% allocated to Bitcoin.
ETF Inflows
In July, net inflows to US spot Bitcoin-ETFs exceeded $3 billion.
Holding Patterns Stabilize
The decline in addresses holding Bitcoin for over a year stopped in June and July. Mt.Gox and Grayscale accounted for half of this reduction, signaling a return to accumulation sentiment.
Metaplanet’s Investment
Metaplanet recently became a notable hodler. In April, the company announced plans to buy Bitcoin to hedge against the yen’s depreciation. They now hold 246 BTC at an average price of 10 million yen per coin, with unrealized gains of 140 million yen ($900,000).
Market Reaction
The market reacted positively to Metaplanet’s decision, with its shares rising ninefold to ¥186 since April.
Future Outlook
Metaplanet’s success and Bitcoin’s growth potential will likely increase the number of hodlers among public companies.
