Bitcoin appears to be volatile at spot market prices, judging by the formation on the daily chart. The surge in spot prices has sent the world’s most valuable cryptocurrency up by about 30%, rising from $53,500 to around $70,000 over the weekend.
Gox Mountain Disappears, a Relief for Bitcoin
With prices slowing, and quickly finding rejection from the critical round number and around $2,000 from the June 2024 highs, Glassnode analysts He thinks Bitcoin is entering a new era. Referring to the recent distribution of bitcoin by Mt. Gox creditors, Glassnode noted that the “weight” that has weighed on the industry for nearly 10 years is beginning to ease.
After initial fears that the distribution of billions of bitcoin by Mt. Gox creditors would damage the market proved true, prices surged. While there was success as the market demonstrated its strength over the years by absorbing these coins with ease, what is important to note is the psychological event that served as a turning point.
Glassnode noted that just over 59,000 BTC was distributed to hack victims through dedicated exchanges Kraken and Bitstamp. This was out of 141,686 BTC recovered from the hackers, and Mt. Gox creditors plan to distribute the rest in the coming days.
While some are relieved to see a portion of Mt. Gox’s proceeds distributed, it remains unclear how prices will react in the coming sessions. So far, Bitcoin price is still in a tight range, basically stuck between $60,000 and the all-time high around $74,000. On a deeper level, there are major resistance levels to watch at $70,000 and $72,000.
If bulls can push prices higher, a break above $72,000 will be crucial. This line represents the resistance of May and June, and is the last barrier before the rest of the all-time highs.
US government concerns about bitcoin
Optimism is high but prices fell yesterday after the US he moved According to Arkham Intelligence, BTC was worth around $2 billion. The on-chain transfer of 30,000 BTC, which was later split into two batches, sent shockwaves through the BTC market, causing prices to plummet.
While there were initial concerns that the government was planning to liquidate them hours after Donald Trump pledged to hold Bitcoin as a strategic reserve, others are speculating that the coins are being transferred to a trustee. According to one user on X, the US Marshals Service recently Contractor Coinbase Prime “will protect and trade its large-cap digital asset portfolio.”
Bitcoin Treasury Bond Data as of July 30 Offers The United States has over 207,000 bitcoins. Most of these have been seized from criminals and other lawbreakers. China comes in second, with 194,000 bitcoins.
Featured image from Canva, chart from TradingView
