Bitcoin Surges Above $57K, Some Suggest Mt. Gox Sales Already Factored In
Bitcoin has bounced back from a 4% loss to reclaim the $57,000 level, while Ether has surpassed $3,000. The market’s attention has shifted from Mt. Gox’s repayments to U.S. Federal Reserve policies, with traders keeping an eye on economic data releases and Federal Reserve Chair Jerome Powell’s upcoming testimony. Bitcoin recovered from its losses during the Asian trading session, rising by as much as 3% during European morning hours on Monday. In addition to Ether’s bounce back above $3,000, Cardano, Solana, BNB Chain, and dogecoin also experienced gains. Within the token market capitalization range of $1 billion to $5 billion, Celestia’s TIA saw significant gains ahead of its upcoming conference. The CoinDesk 20, which comprises major tokens, also made a recovery after a 7% loss earlier in the day. Traders are once again closely following Federal Reserve speeches and policies, as the market has already priced in the impact of Mt. Gox’s repayments. Mt. Gox, the defunct crypto exchange, had caused Bitcoins to fall by over 8% when it started moving millions worth of the token to the Japan-based bitBank exchange. However, bitBank assured that the market impact would be minimal. Market analyst Yuya Hasegawa stated that the market had already factored in the repayment before it commenced, and the focus has now shifted towards the Federal Reserve’s policy decisions. This week, the U.S. Consumer Price Index (CPI) report will be released, and Federal Reserve Chair Jerome Powell will testify to Congress, potentially providing insight into the central bank’s future monetary policy. Despite these events, some market observers anticipate continued negative market performance due to the summer holiday season. Philippe Bekhazi, CEO of XBTO, noted that more sellers than buyers exist at the moment, with many people on vacation and long-term holders reducing their positions. Nevertheless, Bekhazi emphasized that this pattern is not unusual following a bitcoin halving event.