Bitcoin (BTC) may see a fresh “bearish signal” in the coming days as the Mt. Gox saga enters its final — possibly expensive — phase.
As noted by on-chain analytics resource CryptoQuant on Dec. 8, defunct exchange Mt. Gox’s payout deadline is just one week away.
Mt. Gox rehabilitation deadline looms
After multiple delays, creditors of Mt. Gox who lost money in its implosion in 2014 are set to know when they will receive BTC on Dec. 15 — and the temptation to sell for profit may prove to be too great to avert a mass run on exchanges.
“Set Mt.Gox outflow alert. Manage your risk,” CryptoQuant CEO Ki Young Ju warned Twitter followers.
Mt. Gox was the best-known cryptocurrency exchange until it was hacked for funds including 860,000 BTC. After years of legal tussles, a rehabilitation scheme will see roughly 140,000 BTC distributed to creditors.
Since Mt. Gox’s website went offline in February 2014, Bitcoin has mushroomed in value, meaning that the funds from the rehabilitation scheme are now worth $2.63 billion.
As CryptoQuant notes, that translates into a lot of potential selling pressure. With roughly 28,000 BTC mined each month, the haul equals around five months‘ supply.
“It could be a $BTC bearish signal as supplying 150,000 BTC to the market…” part of another tweet reads.
Disrupting the eerie Bitcoin calm
The past week has been characterized by low activity on Bitcoin markets, as BTC/USD enters a period of consolidation after rampant volatility.
Proponents are using the respite to double down on their positions, with MicroStrategy announcing a fundraising round for $400 million more BTC in its next purchase.
Other corporate buyers, including investment giant Grayscale, also continue amassing funds.
As Cointelegraph reported, meanwhile, aside from Mt. Gox, macro events are also set to influence Bitcoin price action this week.