Bitcoin experienced a slight decline on Tuesday after two consecutive sessions of gains, largely influenced by significant BTC transfers by the defunct Japanese cryptocurrency exchange, Mt. Gox.
The world’s largest cryptocurrency inched 0.4% lower to $86,731.9 by 01:55 ET (05:55 GMT). Despite starting the week on a strong note due to optimistic trade tariff expectations from U.S. President Donald Trump, Bitcoin faced renewed selling pressure following news of Mt. Gox’s latest BTC movement.
Mt. Gox Moves Over $1 Billion in Bitcoin – Investor Concerns Rise
According to data from blockchain analytics firm Arkham Intelligence, Mt. Gox transferred a total of 11,501 Bitcoins worth approximately $1 billion to different wallets during early Asian trading hours:
- 893 BTC ($78.11 million) moved to a hot wallet.
- 10,608 BTC ($927.48 million) transferred to a change wallet.
Historically, large-scale Bitcoin movements from Mt. Gox have raised fears of massive sell-offs, triggering market downturns. However, this time, Bitcoin’s price reaction remained relatively muted, suggesting that investors may have already priced in such transfers.
Another factor easing market concerns is Mt. Gox’s recent extension of its creditor repayment deadline to October 31, 2025, reducing immediate liquidation fears.
Trump’s Tariff Plans & Impact on Crypto Market
Investors remain watchful ahead of April 2, when Trump’s administration is expected to announce fresh trade tariffs. Initially, fears of broad, industry-wide levies rattled the market. However, reports now indicate that tariffs will target specific countries with significant trade imbalances with the U.S., rather than implementing blanket measures.
This has boosted investor confidence in riskier assets like cryptocurrencies, as fears of a global economic downturn have eased.
Trump Media & Crypto.com Join Forces for Crypto-Backed ETFs
In a significant development for the crypto sector, Trump Media & Technology Group Corp (NASDAQ:DJT) has entered into a non-binding agreement with Crypto.com to launch a series of crypto-backed exchange-traded funds (ETFs) under the brand Truth.Fi.
These ETFs will focus on digital assets and American industries, including Bitcoin (BTC), Cronos (CRO/USD), and other crypto assets. This partnership signals growing institutional interest in digital asset investment vehicles.
Altcoin Market Reaction – Cardano & Dogecoin Lead Gains
Most altcoins mirrored Bitcoin’s subdued performance, though some assets saw notable gains:
- Ethereum (ETH) fell 0.7% to $2,052.24.
- XRP dropped 1% to $2.4323.
- Solana (SOL) gained 1.3%.
- Cardano (ADA) jumped 2.6%.
- Polygon (MATIC) remained mostly flat.
Among meme coins, Dogecoin (DOGE) surged 5.3%, while $TRUMP token fell 3.5%.
What’s Next for Bitcoin?
Despite the short-term dip, Bitcoin remains resilient above key support levels. Market participants will closely watch Mt. Gox repayment developments, Trump’s tariff policies, and institutional Bitcoin accumulation for future price direction. If no major sell-offs occur, Bitcoin could regain its bullish momentum.
Key Takeaways:
- Bitcoin price dropped to $86.7K following Mt. Gox’s BTC transfer.
- Over $1 billion in BTC moved by Mt. Gox triggered mild investor concerns.
- Mt. Gox repayment deadline extended to October 31, 2025, easing immediate sell-off fears.
- Trump’s trade tariffs expected on April 2, with a more measured approach boosting crypto confidence.
- Crypto-backed ETFs in the pipeline through Trump Media & Crypto.com partnership.
- Dogecoin & Cardano led altcoin gains, while Ethereum and XRP saw declines.
Frequently Asked Questions (FAQs)
Why did Bitcoin price drop today?
Bitcoin dropped slightly due to Mt. Gox’s massive BTC transfer, raising concerns about potential sell-offs. However, a muted market reaction suggests investor fears were limited.
Will Mt. Gox sell its Bitcoin holdings soon?
Mt. Gox has extended its creditor repayment deadline to October 31, 2025, reducing immediate sell-off risks. However, investors should remain cautious.
How are Trump’s tariffs affecting Bitcoin?
Market fears over broad trade tariffs have eased as reports indicate targeted tariffs on specific countries, boosting investor confidence in riskier assets like Bitcoin.
What are crypto-backed ETFs?
Crypto-backed ETFs are exchange-traded funds that include Bitcoin and other digital assets as part of their investment portfolios. The new Truth.Fi ETFs aim to combine crypto with U.S. industrial assets.
Disclaimer
The information provided in this article is for informational purposes only and should not be considered financial advice. Cryptocurrency investments are subject to high market risk, and past performance is not indicative of future results. Always conduct your research and consult with a financial advisor before making investment decisions.
