Blockchain
Cryptocurrency Price Movements Today: Bitcoin, Ether Prices Swing
Key points
- Bitcoin traded above $56,000 on Monday afternoon.
- The world’s largest cryptocurrency has tumbled over the past 24 hours on lingering concerns about potential large sell-offs by former customers of the failed bitcoin exchange Mt. Gox and Germany.
- Concerns about Mt. Gox may be more prevalent in Bitcoin Cash, one analyst says.
- The Ethereum-based Golem project has also sent more than $100 million in ether to exchanges over the past month and still has hundreds of millions of dollars more in its treasury.
Bitcoin (BTC) traded above $56,000 on Monday afternoon, sliding amid blockchain fund movements from addresses linked to the failed bitcoin exchange Mount Gox.
Bitcoin disbursements and bitcoin cash to former stock exchange clients started last weekSome observers believe that supply is weighing on prices, while others say the long-awaited event is already listed on the marketPeter Chung, head of research at Presto Labs, said that bitcoin cash is more likely to be affected.
Meanwhile, some investors have been concerned about Germany’s sale of bitcoins originally seized by the German Federal Criminal Police Office from the piracy website Movie2k.to. Germany still holds 26,318 BTC worth $1.4 billion, according to Arkham Intelligence, but has sent more than half of the nearly 50,000 bitcoins it seized from its Bitcoin address. After sending bitcoins steadily since June, German authorities also sent a significant amount of bitcoin to exchanges on Monday.
According to CoinDesk, Bitcoin has dropped more than 1% in value over the past 24 hours.
Selling pressure from Mt. Gox clients and the German government could be seen as a buying opportunity, according to digital asset manager CoinShares, which said global digital asset investment products saw $441 million inflows last week.
Ether (ETH) is also experimenting with a potential large holder liquidation in the form of Ethereum-based decentralized application Golem, which has raised more than 800,000 ether in a Initial Coin Offering in 2016. According to Arkham Intelligence, Golem has already sent more than $100 million worth of ether to exchanges in the last 30 days, and the project still has approximately $388 million worth of ether at its disposal.
Both were recently trading around $3,000, up less than 1% in the last 24 hours.