Bitcoin plummets $5,000, nearly $9 billion potential selling pressure hits

On June 25th, bitcoin suddenly faced a potential liquidity shock of nearly 9 billion dollars, and the price plummeted by $5,000 in the past 24 hours to as low as $58,300. The matter involves the early cryptocurrency exchange Mt. Gox. The platform was hacked in 2011, more than 600,000 bitcoins were stolen, and it went bankrupt in 2014. The team responsible for managing the remaining funds of Mt. Gox announced on the 24th that it will start repaying the cryptocurrency in July to creditors who lost their assets more than a decade ago. As of Monday, the exchange held about 141,687 bitcoins, worth about $8.70 billion, according to Arkham Intelligence. Investors are concerned that Mt. Gox's creditors may choose to sell the bitcoins they received, putting pressure on the cryptocurrency, which is now trading at a much higher price than it was a decade ago.