The long-dead Mt. Gox exchange has managed to shake the crypto market yet again. After eight months of complete silence, the estate suddenly moved nearly $1 billion worth of Bitcoin today. The move sparked anxiety among traders who worry that more BTC could soon hit the market.
Major wallet movements raise eyebrows
On-chain analysts spotted a massive transfer of 10,600 BTC — about $953 million — from the Mt. Gox cold wallet to a brand-new, unidentified address. Mt. Gox had suspended its trading operations since 24 February 2014. No one knows exactly why the estate made such a large move. It could be routine custody housekeeping, or it could be preparation for something bigger.
But it was the second transfer that really set off alarms: 185.5 BTC, worth roughly $16.8 million, was sent directly to Kraken. Historically, when coins go from cold storage to an exchange, it often signals selling activity. What makes this even more confusing is that Mt. Gox recently pushed its repayment deadline all the way to October 2026. The estate still holds around 34,600 BTC — over $3 billion — even after distributing most of its original pile of 142,000 BTC since last year.
A brutal moment for the market
This all comes at a time when Bitcoin is already struggling. BTC has dropped 29% since October, falling from a peak of $126,000 to around $89,200. It’s the third ~30% correction in this bull cycle, but it feels harsher because Bitcoin also broke through major support levels, including the 365-day moving average. Traders are calling it a “liquidity squeeze,” and Mt. Gox’s sudden movements aren’t helping.
Analysts still see hope
Even with the bearish noise on-chain, several macro analysts think this pain won’t last. Citibank’s Dirk Willer expects liquidity conditions for Bitcoin to improve by year-end, giving the market some breathing room. According to reports, a strategist from JPMorgan, Nikolaos Panigirtzoglou, argues there’s “significant upside” for Bitcoin. He says the recent correction was largely driven by deleveraging in futures and that, relative to gold on a volatility-adjusted basis, Bitcoin now looks “relatively cheap.”
Whales are quietly buying
Retail traders might be panicking, but large holders definitely aren’t. Data from Glassnode shows that “whales” (wallets with at least 1,000 BTC) have been loading up since Bitcoin dropped below $110K, and even more aggressively under $100K. In other words, while Mt. Gox’s movements are causing short-term fear, big-money investors seem to be treating this dip like a rare buying opportunity.
