Bitcoin’s price has lost nearly 14% of its value in just two days, resulting in a price drop to a four-month low around $53,000, leading to a wave of liquidations in the crypto market.
Investors are very concerned that the decline could continue. A major factor here is that creditors of the bankrupt crypto exchange Mt. Gox are about to get their long-awaited Bitcoin (BTC) and Bitcoin Cash (BCH) back. The administrator responsible for executing the repayments has indicated that they have already started.
14 to 90 days
After the refunds are processed to the various exchanges, it can ultimately take up to three months for the funds to be received. The time period depends on the crypto exchanges through which the claims are filed. Crypto exchange Kraken has stated that it takes 90 days to process the refunds, while exchanges BitGo, SBI VC Trade, and Bitbank take 14 to 20 days respectively.
Refunds to creditors will be processed as soon as possible once the conditions set are met.
Earlier in the day, Mt. Gox sent 47,228.7 BTC, worth an estimated $2.71 billion, to a wallet. The assets were then divided and transferred in multiple transactions, including 1,545 BTC worth $85 million that was sent to the Bitbank exchange.
According to traders, the “Bottom has been reached”
Bitcoin traders, however, remain optimistic despite the coin trading below its 200-day moving average and hitting a low of $53,500 overnight on Coinbase. Dutch analyst Jelle predicted a recovery above the 200-day exponential average, but BTC is now trading $4,000 lower than expected.
The release of Mt. Gox Bitcoin and sales by the German and US governments could trigger further declines, leaving forecasts uncertain. Analysts note that this pattern is more likely to occur during periods of high market fear.
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Source: https://newsbit.nl/mt-gox-schuldeisers-kunnen-tot-3-maanden-op-hun-bitcoin-wachten/
