If you have been have hanging around cryptocurrency circles, you must definitely be aware of the bearish rally that has plagued the cryptocurrency market since the beginning of 2018. Bitcoin has struggled to maintain its previous highs of near $20,000 per coin since February.
However, as of March 12th, Bitcoin saw a price pump of about $1200 in just 24 hours, after a slump during the weekend that saw it hit a low of $8,500 – according to data from a number of leading exchanges.
Mt.Gox Panic Sell Off
Even with the slight 15.5 percent price appreciations on most Bitcoin charts, the market movements are certainly not new, as the market has been characterized by volatile fluctuations for quite some time. Market analysts predict that further gains can be expected if Bitcoin closes above the $12,400 mark, with a resistance predicted at around the $12,000 price point.
But more uncertainly is lingering in the crypto world, especially with last week’s reports of a huge Bitcoin sell off by Mt. Gox trustees. The move by Mt.Gox trustees was privy to a reimbursement of creditors of the now defunct exchange platform. According to Mark Karpeles (the CEO of Mt.Gox) the reimbursement process has been taking place since December last year, right up to February 2018. As it occurred, the Mt.Gox creditors panic sell off triggered market volatility as experienced on cryptocurrency exchanges across the globe.
Mt.Gox is famous in the cryptocurrency space for the hack in 2014 that saw the formerly renowned Bitcoin exchange lose about 850,000 Bitcoins. Further reports indicate an ongoing FBI investigation as suspicions grow over the alleged laundering of the stolen Bitcoins.
Bullish Sentiments Remain Strong
With more coins set to be fully sold by reports on the Mt.Gox reimbursement, the bearish rally, as experienced since the beginning of the year, is set to continue. Tom Lee (a well known Bitcoin evangelist and Fundstrat Global Advisor) is quoted on Cointelegraph mentioning that the sell off is nothing but a ‘short-term concern’ that will not change anything. He also unveiled the ‘Bitcoin Misery Index’ which is a tool that was able to swiftly signal the recent 15.5 percent rise.
What do you think the fate of the cryptocurrency market fluctuations with the continuing BTC panic sell off will be? Share your thoughts and opinions with us in the comments section.