An analyst’s warning about the possibility of something happening that could cause the price of Bitcoin to fall

A well-known digital currency analyst has warned of an event that many analysts have overlooked, which will create a massive selling pressure in the market and send the price of Bitcoin down again.

To the report In a new video to his more than 500,000 YouTube subscribers, DailyHodle, Nicholas Merten, the host of his Datadad channel, told his more than 500,000 subscribers that the dormant selling pressure caused by the collapse of the Matt Gax exchange may come to a head and once again cause the price of the market’s largest digital currency to fall. .

Merten said in explaining his opinion:

The question we need to ask is whether Matt Gox’s payment of bitcoins will decrease the price of bitcoins or not. More specifically, the more important issue is whether the pressure from the original investors to get their bitcoins will get them back.

He continued:

The second question is whether this selling pressure will make the price reach the floor? Because as we saw in the last bull market, Matt Gax’s bitcoin holdings didn’t even halve and went from around 200,000 to 137,000 bitcoins. What will happen to the price if we see this form of selling pressure, or in this particular case, an open supply of Bitcoin?

MetGox was a defunct cryptocurrency exchange based in Japan that went bankrupt in 2014 after being hacked. In July 2022, the exchange announced that it would refund some of its bitcoins to former customers as part of its bankruptcy proceedings.

Merten believes that paying Matt Gox’s former clients in Bitcoin could create a huge source of liquidity on the sell side.

He said at the end:

I think this will mean a lot of selling pressure. People who have had Bitcoin since it was in the double digits, triple digits, or eventually several hundred dollars and want to start cashing out their profits because they feel that is what Bitcoin as an asset is meant to do.