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Binance's CZ Rubbishes Rumors Over Mt Gox Bitcoin Impact

Bitcoin

coingape.com 11 July 2022 13:24, UTC
  
Reading time: ~2 m

After Mt. Gox Trustee’s announcement last week that they would repay its creditors, there was speculation around Bitcoin crash. There was widespread fear in the crypto community that the returns would bring Bitcoin price down in a freefall. However, there is an opposing argument that long term Bitcoin holders would not choose to sell their assets.

FUD Over Mt Gox Bitcoin Release

In February 2014, Mt Gox, then one of the largest cryptocurrency exchanges, suspended all trading on the platform. With its latest update of access to 141,686 Bitcoin, the crypto community is skeptical about the timing of the returns. Healthy pockets, a crypto influencer, said the recent sale of Bitcoin by miners had already dealt a blow to Bitcoin price.

“In recent times, the sale by miners of just over 10,000 BTC has already affected the price of Bitcoin. An almost followed sale of 150K BTC could have serious consequences for the price of Bitcoin.”

Also, speculation around the potential Bitcoin crash is creating FUD among small scale crypto investors. When Binance CEO CZ was asked whether there could be a Bitcoin price drop due to the Mt Gox release, he said there won’t be any crash. A crypto enthusiast asked CZ whether the Mt Gox issue is something to be worried about or just another FUD. He rubbished the entire episode saying the speculation is akin to new joiner mentality.

“Just ask yourself, if you got into crypto and had BTC from 2014, will you be in a hurry to sell now? New joiners vs OG mentality.”

‘No Need To Over Panic About Mt Gox Bitcoin’

Meanwhile, several people from the crypto community are vouching for not having FUD over the Bitcoin release. Joseph Young, a venture capitalist, said there is no need to over panic about the Mt Gox Bitcoin issue.

“Lots of talks on $3 billion worth of bitcoin hitting the crypto market. You should not over-panic about Mt Gox and the massive BTC that may pour into the market.”

As of writing, Bitcoin is trading at $20,551, up just 0.31% in the last 24 hours, according to CoinMarketCap.


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