Within a span of 48 hours, the price of Bitcoin dropped to as low as $8,300 from $10,600, mainly due to Mt. Gox trustee selling 166,344.35827254 BTC – an amount worth $1.7 billion. Although, at the time of writing, Bitcoin price is trading at $9,444, representing a market cap of $159 billion.
Even though this recovery might appear strong with major altcoins gaining as much as 15-20%, the bears are still in control of the market. It is important to note that Mt. Gox trustee hasn’t sold all the Bitcoins yet. There are still plenty left. Mt.Gox was the largest Bitcoin exchange in the world until hackers stole around 850,000 BTC from it in February 2014. According to the official document released by the Mt. Gox trustee, more than $1.7 billion worth of bitcoin is expected to be sold in the next few months.
Altcoins like Litecoin, DASH, NANO have gained 16%, 15%, and 26% respectively. Bitcoin itself has gained 7.3% in the past 24 hours. This has brought the total market capitalization to $387 billion.
On the other hand, analysts like WhalePanda have argued that Mt. Gox Trustee should have sold 40,000 Bitcoin on over-the-counter (OTC) platforms rather than on exchanges.
“MtGox was terrible and the incompetent way they are handling is terrible, saying that Bitcoin has been crashing since all-time high because of it is just silly. It’s only’ 40,000 BTC. It is about the same as claiming that Tether caused the run to $20k. People love