Here’s Why Bitcoin Price Could Rally Despite Mt. Gox Distributing 70% BTC

Bitcoin price has surged over the past week following positive developments in the cryptocurrency market. BTC hovers above $66,000, with bullish sentiment continuing to dominate, increasing 3%. However, over the past 24 hours, the price has experienced slight volatility, fluctuating between $65,484 and $67,113. 

At the time of writing, BTC price hovered at $66,241 during European trading hours, making a slight surge of 0.49% over the past day. According to CoinMarketCap data, Bitcoin’s market capitalization stands at approximately $1.3 billion, with a 24-hour trading volume of $28 million, reflecting a decrease of 23%. 

Bitcoin Price Stability Amidst Mt. Gox Payouts

Mt Gox, once the dominant Bitcoin exchange, faced a catastrophic downfall in 2014, losing 850,000 Bitcoins. 

Despite initial fears of a market crash due to the recent commencement of repayments to creditors in Bitcoin and Bitcoin Cash, the actual market response has been notably positive. 

Kraken Reports Significant BTC Outflows

Kraken has completed the allocation of assets to Mt. Gox’s former clients, and there was unexpectedly little downward pressure on Bitcoin price following the distribution. Dave Ripey, Kraken’s CEO, confirmed that all Bitcoin (BTC) and Bitcoin Cash (BCH) owed had been fully distributed. 

Despite concerns of a potential market dip due to a flood of Bitcoin becoming available for trading, the cryptocurrency’s value has slightly increased by nearly 1%.

Interestingly, a notable uptick in Bitcoin withdrawals from Kraken has been observed. This trend suggests that many Mt. Gox beneficiaries opt to transfer their Bitcoin off the exchange into more secure storage solutions, like cold wallets, rather than selling. In the past day, more than 5,000 BTC, valued at approximately $329 million, have been moved from Kraken.

Upcoming BTC Conference 2024 to Boost Market Sentiment

The community’s decision to hold onto their Bitcoin rather than sell is a bullish sign for the cryptocurrency’s stability and prospects. This sentiment may continue to be a topic of discussion at the upcoming Bitcoin Conference 2024, scheduled for July 25-27. 

The event promises to be a significant gathering for the crypto industry, with high-profile participants including former President Donald Trump, MicroStrategy’s Michael Saylor, and possibly even Elon Musk, sparking further interest and potential momentum in Bitcoin’s market performance.

Technical Analysis: Bitcoin’s Path to $70,000

Bitcoin price prediction might notably increase if it surpasses the $67,000 resistance level, potentially advancing toward $69,000. Achieving this milestone could pave the way to the critical $70,000 threshold. 

On the flip side, a downturn could push Bitcoin price down to the $66,000 support. Persisting negative trends could further depress its value to $65,000. This decline would indicate a shift toward a more bearish market outlook.

The daily technical indicators for Bitcoin price show mixed signals. The Moving Average Convergence Divergence (MACD), displays a positive trend as the MACD line (blue) maintains its position above the signal line (red), suggesting bullish momentum might continue. The Relative Strength Index (RSI) currently stands at 60.20, indicating that Bitcoin is neither overbought nor oversold.