[2018-03-09] Bitcoin Drops to $8,300 as Mt. Gox Trustee Sell Off Continues, Mark

[cybersofts]

Bitcoin Drops to $8,300 as Mt. Gox Trustee Sell Off Continues, Market Drops




Yesterday, on March 9, CCN reported that the sell off of hundreds of millions of dollars, and the plan of the trustee to dump the remaining $1.7 billion worth of bitcoin into the market have caused the price of bitcoin to drop substantially in a short period of time.


Bitcoin Drops

Since March 7, within a 48-hour span, the price of bitcoin decreased from $10,600 to $8,300, recording a staggering $2,300 drop in value. The entire market followed bitcoin’s price trend, as the three largest cryptocurrencies behind bitcoin in Ethereum, Bitcoin Cash, and Ripple all declined by 11 percent, by the same exact margin as bitcoin.

Analysts like WhalePanda have attributed to the recent fall to the massive sell off of bitcoin by the Mt. Gox trustee, and the controversial decision of the trustee to sell 40,000 bitcoin on a cryptocurrency exchange, rather than over-the-counter (OTC) platforms.

    “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 their narratives though,” said WhalePanda.

However, the sale of 40,000 bitcoin is not the end of the Mt. Gox trustee’s sell off of bitcoin. 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.

The official document of the Mt. Gox trustee referring to Bitcoin Cash as BCC read:

“As a result of the consultation with the court, I considered it necessary and reasonable to sell a certain amount of BTC and BCC at this point and secure a certain amount of money for distribution resources, and thus, I sold the amount of BTC and BCC above. I made efforts to sell BTC and BCC at as high a price as possible in light of the market price of BTC and BCC at the timing of sale. I plan to consult with the court and determine further sale of BTC and BCC.”


$1.7 Billion

If the Mt. Gox trustee continues to dump large amounts of bitcoin on cryptocurrency exchanges rather than in the OTC market wherein big buyers can trade with each other, the price of bitcoin will continue to be affected by the sale.

Ethereum co-founder and Cardano founder Charles Hoskinson stated that bitcoin may have been overvalued at $19,000 if a short-term sell-off by a single entity could lead the price of the cryptocurrency to fall by a margin like this, emphasizing the liquidity problem in the cryptocurrency market.

“Was bitcoin really worth $20,000 a coin if an event like this has such a profound impact on the market? We need an index of how much the market can afford to liquidate without crashing for each cryptocurrency; call it the ΔL metric,” said Hoskinson.

It remains unclear whether the Mt. Gox trustee will dump over a billion dollars worth of bitcoin on exchanges as planned, or move to OTC market to prevent market manipulation.


Source: https://www.ccn.com/bitcoin-drops-8300-mt-gox-trustee-sell-off-continues-market-drops/

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[senin]

It seems that bitcoin and crypto-currencies in general will have serious problems because of this Mr. Gox, who sold his first 20,000 bitcoins and so dropped the crypto-currency market in price. And he still has 180,000 bitcoins, which he plans to sell this year. It seems that the price of bitcoin will fall to a minimum for a year.

[Kprawn]

Some people should just keep quite, because they look like idiots when they make statements like this :

“Was bitcoin really worth $20,000 a coin if an event like this has such a profound impact on the market? ...,” said Hoskinson.

What these idiots are not getting is that the slightest dip is causing a ripple affect in the market. It is not just the 6000

bitcoins that are causing this, but rather the ripple it cause. The last dump was 18 000 coins, valued at +/- $180 000 000.

This is a huge amount for some of these exchanges. {Bots goes crazy when this happens on one exchange} 

[Kronos21]

What is $ 1.7 billion? This is less than 1% of the total bitcoin capitalization. This is very little to talk about landfill. Whales took advantage of the situation to enhance the effect of such a coin reset. After these coins find their owner, the price will go up again. It's just one person's savings. Lol. Don't panic and everything will be fine.

[TraderTimm]

Nobody is "still dumping" anything.

It all happened from the all-time high down to the plunging low. Don't believe me? Then check this site of cold wallets that Gox had control over (and now the trustee does) -- http://gaelb.alwaysdata.net/MTgox_watch_CW/index.html

I hate sloppy writing, but the crypto space is full of it.

[senne]

This news and step taken by Mt. Gox has adversely affected market now and it seems that in the coming days things are going to get worse only. Market has been subsequently below 10k mark for most of the time and if such news are on the way things may take time to recover.

[Wargika]

What is $ 1.7 billion? This is less than 1% of the total bitcoin capitalization. This is very little to talk about landfill. Whales took advantage of the situation to enhance the effect of such a coin reset. After these coins find their owner, the price will go up again. It's just one person's savings. Lol. Don't panic and everything will be fine.

I also think the effect of the sale off is exaggreted. It can crash the market jut because there are not many buyers in general.

[Betwrong]

Nobody is "still dumping" anything.

It all happened from the all-time high down to the plunging low. Don't believe me? Then check this site of cold wallets that Gox had control over (and now the trustee does) -- http://gaelb.alwaysdata.net/MTgox_watch_CW/index.html

I hate sloppy writing, but the crypto space is full of it.

Well, idk man. It looks like you have a point, but on the other hand it's hard to belive that all of them are lying:

https://www.finder.com.au/mt-gox-trustee-crashes-bitcoin-several-times

http://blocktribune.com/mt-gox-trustee-sold-400m-bitcoin-bitcoin-cash-via-exchanges/

https://discover.coinsquare.io/investing/mt-gox-trustees-bitcoin-sell-off-irritates-traders/

https://www.newsbtc.com/2018/03/09/mt-gox-major-factor-behind-bitcoins-1000-drop/

https://www.coindesk.com/mt-gox-trustee-sells-400-million-bitcoin-bitcoin-cash/

I've found this document, https://www.mtgox.com/img/pdf/20180307_report.pdf,  saying that 35,841.00701 BTC  indeed were sold recently. So maybe this article is not as bad as it might look at first glance.

[Basmic]

Nobody is "still dumping" anything.

It all happened from the all-time high down to the plunging low. Don't believe me? Then check this site of cold wallets that Gox had control over (and now the trustee does) -- http://gaelb.alwaysdata.net/MTgox_watch_CW/index.html

I hate sloppy writing, but the crypto space is full of it.

Well, idk man. It looks like you have a point, but on the other hand it's hard to belive that all of them are lying:

https://www.finder.com.au/mt-gox-trustee-crashes-bitcoin-several-times

http://blocktribune.com/mt-gox-trustee-sold-400m-bitcoin-bitcoin-cash-via-exchanges/

https://discover.coinsquare.io/investing/mt-gox-trustees-bitcoin-sell-off-irritates-traders/

https://www.newsbtc.com/2018/03/09/mt-gox-major-factor-behind-bitcoins-1000-drop/

https://www.coindesk.com/mt-gox-trustee-sells-400-million-bitcoin-bitcoin-cash/

I've found this document, https://www.mtgox.com/img/pdf/20180307_report.pdf,  saying that 35,841.00701 BTC  indeed were sold recently. So maybe this article is not as bad as it might look at first glance.

The document you showed me really helped me. Lol. It's always been a mystery to me how you can learn your language. Seriously, will we ever see such fluctuations in the price of bitcoin. A lot of coins are concentrated in the hands of several people. Periodically they will sell them and the price will fall. But this is a temporary phenomenon. There will always be people who are ready to buy the entire stock of coins. After a big failure will be even greater growth because the coins will settle in the refrigerator.

[MoonJeina]

This might be a reason for s sudden minute drop but that will not affect bitcoin's market forever.
This is just a little part which will get covered with more and more.investnents made by people on bitcoin and the sudden sell off will be forgotten soon.

[aso118]

If the Mt Gox Trustee is still selling, he is not doing his job of liquidation properly. Announcing your intentions and then selling is one of the dumbest things to do. There will be a lot of people who will front run you, drive the price down and pick the coins at lower price from you. He should have left the job of liquidating the coins to professionals.

[richardsNY]

What is $ 1.7 billion? This is less than 1% of the total bitcoin capitalization.

Learn how this market works. Bitcoin's market cap doesn't represent the liquidity available on our incompetent exchanges. Even a $100 million dump can make sure this market is going to bottom badly. If this 'trustee' actually will continue selling $1.7 billion worth of Bitcoin, he will literally demolish the rate of each and every exchange he's dumping on. If he really continues to dump through like there is no tomorrow, he won't have any problems in tanking the market back to far under the $1000 level again. However, if there is at least some sense available, coins will not be dumped continuously, which should allow the market to partly recover again.

[darkangel11]

Nobody is "still dumping" anything.

It all happened from the all-time high down to the plunging low. Don't believe me? Then check this site of cold wallets that Gox had control over (and now the trustee does) -- http://gaelb.alwaysdata.net/MTgox_watch_CW/index.html

I hate sloppy writing, but the crypto space is full of it.

What about this? According to them they've been selling gox coins since December and the dates of the first coin moves are corresponding with the price drops. Either they've misinterpreted the act of taking over the coins by the trustee as selling or they somehow mixed the addresses
http://www.businessinsider.de/bitcoin-price-traders-angry-over-mt-gox-trustees-bitcoin-sales-2018-3?r=UK&IR=T

[darkangel11]

If the Mt Gox Trustee is still selling, he is not doing his job of liquidation properly. Announcing your intentions and then selling is one of the dumbest things to do. There will be a lot of people who will front run you, drive the price down and pick the coins at lower price from you. He should have left the job of liquidating the coins to professionals.

He's doing the dumbest thing ever, not only by announcing it but also by selling in big batches. Exchanges don't have enough liquidity to sustain dumps of thousands of coins. There's not enough buy orders waiting to grab the coins, and like people have mentioned in this thread, bots get triggered and we have chaos and panic. The smartest thing would be to sell at an auction, which not only would not affect the price, but also give people a chance to buy at a discount and choose the exchanges they want to cash out (if needed). If he's planning to sell bitcoins worth $1.7 billion somebody should tell him that he's not going to even get close to that value. He should start presenting the fiat value with prices like $5k per coin, not 10k or anything close, because he won't get that much!

[99btcwah]

I thought that the lawyer holding the Mt. Gox bitcoins already dumped part of the stash that was entrusted to him last year. The $1.7 billion worth of bitcoins that he still have under his control is expected to be unloaded any time in the future to pay off their debts. Whatever his intent is, the coins that he released may not have that much of an effect to the current decline of bitcoin's value. Bitcoin was unable to break beyond $11 600 last week thus the market is trying to consolidate this time around and may level by next week. There may be another attempt to breach $12 000 next month.

[bbc.reporter]

This was poorly handled by the trustee and the people around him. The best way to convert that much coins is to do either an action or an OTC private sale.

Doesn't the trustee know his actions are negatively affecting everyone in the whole cryptospace? I reckon he's either very stupid or has malicious motives.

[Kemarit]

I thought that the lawyer holding the Mt. Gox bitcoins already dumped part of the stash that was entrusted to him last year. The $1.7 billion worth of bitcoins that he still have under his control is expected to be unloaded any time in the future to pay off their debts. Whatever his intent is, the coins that he released may not have that much of an effect to the current decline of bitcoin's value. Bitcoin was unable to break beyond $11 600 last week thus the market is trying to consolidate this time around and may level by next week. There may be another attempt to breach $12 000 next month.

He has been offloading from December-March as previously reported. And that span we have seen bitcoin on a wild swing and yet we can't identify what really brought the market to behave this erratic. So it looks like we have a clearer picture as to who or what might have been the reasons of all the price corrections.

This was poorly handled by the trustee and the people around him. The best way to convert that much coins is to do either an action or an OTC private sale.

Doesn't the trustee know his actions are negatively affecting everyone in the whole cryptospace? I reckon he's either very stupid or has malicious motives.

Can't really tell at this point. Someone needs to knock his head and bring sanity to him. His actions has already put too much pressure on the market already. Yeah, OTC will be good or work it from behind. Contact big trading platform and do the trade privately. I reckon he is not that stupid. But have other motives as well.

[Betwrong]

Nobody is "still dumping" anything.

It all happened from the all-time high down to the plunging low. Don't believe me? Then check this site of cold wallets that Gox had control over (and now the trustee does) -- http://gaelb.alwaysdata.net/MTgox_watch_CW/index.html

I hate sloppy writing, but the crypto space is full of it.

Well, idk man. It looks like you have a point, but on the other hand it's hard to belive that all of them are lying:

https://www.finder.com.au/mt-gox-trustee-crashes-bitcoin-several-times

http://blocktribune.com/mt-gox-trustee-sold-400m-bitcoin-bitcoin-cash-via-exchanges/

https://discover.coinsquare.io/investing/mt-gox-trustees-bitcoin-sell-off-irritates-traders/

https://www.newsbtc.com/2018/03/09/mt-gox-major-factor-behind-bitcoins-1000-drop/

https://www.coindesk.com/mt-gox-trustee-sells-400-million-bitcoin-bitcoin-cash/

I've found this document, https://www.mtgox.com/img/pdf/20180307_report.pdf,  saying that 35,841.00701 BTC  indeed were sold recently. So maybe this article is not as bad as it might look at first glance.

The document you showed me really helped me. Lol. It's always been a mystery to me how you can learn your language. Seriously, will we ever see such fluctuations in the price of bitcoin. A lot of coins are concentrated in the hands of several people. Periodically they will sell them and the price will fall. But this is a temporary phenomenon. There will always be people who are ready to buy the entire stock of coins. After a big failure will be even greater growth because the coins will settle in the refrigerator.

The fact of the matter is that I, like you as well, don't speak Japanese. There's an English translation of the document beginning from the page 10, so you can actually read it too. And I agree with you on that a big part of the coins sold in this manner will end up in a cold storage and since the demand for Bitcoins is rising with time the price will be rising too.

[PonyBoy]

Like i understand they sold bitcoin to give money back to holders which lost money on mt gox right ?
30k bitcoin so bad reacting on markets , need 3-5 times make like that and markets will going to low deep

[1Referee]

Like i understand they sold bitcoin to give money back to holders which lost money on mt gox right ?

That's the intention, at least, I hope. I don't take any word coming from that side serious in this case.

30k bitcoin so bad reacting on markets , need 3-5 times make like that and markets will going to low deep

It's not just the MtGox coins being sold causing the price to go down. After reaching the all time high last year, the market was bound to go down anyway. I just wonder how much have the sold MtGox coins contributed to the bottom of slightly below the $6000 level. Correction? Okay, that's understandable. Crash? That's understandable too. It just went down too fast, and too low, which hints at a pretty strong and consistent force of selling pressure from one or more old hands. And yes, if these baboons want, they can turn this market into a complete blood bath at any time of the day. Either way, those who wanted to buy lower, have gotten their chance now, and will likely get more chances as long as the MtGox coins aren't even near being sold out.