cryptonewsland.com
- Brutal crypto market dip continues as Bitcoin price hits $55,000 range.
- One reason for the dip is due to Mt. Gox reimbursements being sold off.
- Another factor is the German government continually sellings its Bitcoin (BTC).
The crypto market continues to sink in a brutal market dip taking its value down to the $55,000 range. Seasoned Bitcoin analysts expect this fall to mark the Bitcoin local bottom this cycle. Others mark two specific events to be the cause of the continuous market dip.
To highlight, this dip is highly owed to two specific events. The first is due to the German government repeatedly selling hundreds of millions worth of Bitcoin (BTC) from its reserves. Since the past couple of weeks, the German government has been selling more and more Bitcoin from its reserves.
The impact on the market from these sell offs are causing a major dump in the overall crypto market. So much has been the damage that Founder of Tron, Justin Sun offered to buy Germany’s remaining BTC funds off-exchange to preserve the positive sentiment of the crypto market and stop the global dip.
In fact, a member of the German government of parliament, Joana Cotar has voiced her opinion to urge the German government to stop selling its Bitcoin (BTC) shares. Cotar instead urges them to hold it as a strategic reserve currency instead.
Meanwhile, another factor contributing to the ongoing dump is the fact that Mt. Got is finally reimbursing its users who lost funds previously due to the entity’s failure to stay standing. Unfortunately, Mt. Gox is only able to return a small share of what their users were previously holding.
Mt. Gox Redemptions have started repaying customers with their #Bitcoin after over a decade! Immediately after this begun, on-chain data showed a hefty increase in selling volume from these wallets.
— Jacob King (@JacobKinge) July 4, 2024
No Bitcoiner will say this out loud, but the majority of the $8.2 Billion in… pic.twitter.com/VWcxBc43Sk
Thus, according to the market data, it seems that most of these reimbursed holders are selling off their returned BTC shares to make the best of what they lost in the whole incident. If this goes on Bitcoin (BTC) could very well sink into a bear market.
https://x.com/HoneybadgerC/status/1809034098746196178
Presently, the crypto market continues to go red as Bitcoin sell offs are contributing to massive crypto market liquidations. In turn, these liquidations reflect that of those during the FTX collapse, the biggest liquidations since then. To put a number on it, $110 million has been liquidated in the last 60 mins.