Bitcoin set for worst week in nearly a year on Mt. Gox liquidation fears
Updates prices, recasts milestone, adds point on liquidations from research note in paragraph 8
NEW YORK/SINGAPORE/LONDON, July 5 (Reuters) -Bitcoin was set for its biggest weekly fall in nearly a year on Friday, as traders fretted over the likely dumping of tokens from defunct Japanese exchange Mt. Gox and further selling by leveraged players after the cryptocurrency's strong run.
The price of the world's largest cryptocurrency slid as much as 8% on the day to $53,523, its lowest since late February. It was last trading at $56,565, down more than 3% on the day.
It was on track for a more than 10% weekly decline, its biggest since August 2023.
Ether ETH=, the world's second-largest cryptocurrency, slid to as low as $2,822.30, a more thantwo-month low. It was last at $2,976.62, down 5.28%.
Media reports said Mt. Gox, the world's leading exchange for cryptocurrencies before it collapsed a decade ago, may start returning bitcoin to creditors, who are seen as likely sellers since the token's worth was only hundreds of dollars in 2014.
"The selling pressure is still related to creditor selling from the failed Mt Gox exchange," said Tony Sycamore, a market analyst at IG.
"However, the acceleration to the downside suggests the market is trying to get ahead of the creditor flows."
The move downward in bitcoin triggered the largest daily liquidations for crypto traders since the collapse of crypto exchange FTX in 2022, according to a research note from Wintermute, a crypto trading firm.
Analysts have also pointed to worries over the possibility of Joe Biden being replaced as the Democrats' presidential nominee by someone less pro-crypto after a shaky debate performance with rival candidate Donald Trump.
"What's striking about this slide in bitcoin is it comes as U.S. stocks and global equity indexes rest at or near record highs - the correlation between Bitcoin and mainstream equities is fraying," said Antoni Trenchev, co-founder of crypto platform Nexo.
Bitcoin had a strong start to the year after the launch of exchange-traded funds in the U.S., propelling it to a record $73,803.25 in mid-March. However, it has since struggled.
"With an asset that has been rangebound for quite a while and recently in the lower end of that range, there are plenty of margined positions," said Justin D'Anethan at digital assets market maker Keyrock.
"This of course creates a cascading effect, pushing prices further down than it might in a market with less leverage."
Reporting by Hannah Lang in New York and Ankur Banerjee, Tom Westbrook and Sameer Manekar in Singapore and Iain Withers in London; Editing by Edwina Gibbs, Kim Coghill and Anil D'Silva
免责声明: XM Group仅提供在线交易平台的执行服务和访问权限，并允许个人查看和/或使用网站或网站所提供的内容，但无意进行任何更改或扩展，也不会更改或扩展其服务和访问权限。所有访问和使用权限，将受下列条款与条例约束：(i) 条款与条例；(ii) 风险提示；以及(iii) 完整免责声明。请注意，网站所提供的所有讯息，仅限一般资讯用途。此外，XM所有在线交易平台的内容并不构成，也不能被用于任何未经授权的金融市场交易邀约和/或邀请。金融市场交易对于您的投资资本含有重大风险。
所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。
本网站上由XM和第三方供应商所提供的所有内容，包括意见、新闻、研究、分析、价格、其他资讯和第三方网站链接，皆保持不变，并作为一般市场评论所提供，而非投资性建议。所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为适用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。请确保您已阅读并完全理解，XM非独立投资研究提示和风险提示相关资讯，更多详情请点击 这里。
