Genesis Trading has been making headlines as it navigates bankruptcy proceedings, significantly impacting the cryptocurrency market. Recently, the business sent 600 Bitcoin (BTC) to Coinbase, worth around $37.72 million.
This transaction fits a larger pattern seen over the previous month when Genesis Trading shifted over 12,000 BTC to the well-known Bitcoin exchange.
Concerns Over Bitcoin’s Market Impact
Investors are concerned about how Genesis Trading’s ongoing liquidation of assets will affect Bitcoin’s price recovery. Industry analysts surmise that these moves are connected to Genesis Trading’s continuous bankruptcy liquidation processes.
The company’s bankruptcy reorganization plan was accepted in May 2023, allowing liquidation and asset distribution. Recent large-scale moves to Coinbase point to Genesis turning its digital assets into more liquid forms to satisfy creditor claims and following court-ordered protocols.
Market Dynamics and Future Projections
According to Arkham monitoring, Genesis Trading still has considerable cryptocurrency holdings, including 32,256 BTC and 113,604 ETH, worth around $2.43 billion. As the crypto community closely monitors these events, concerns emerge regarding the possible influence on Bitcoin’s price stability and broader market dynamics.
The ongoing liquidation of such huge holdings may put negative pressure on Bitcoin. With a 24-hour trading volume of $36.58B and a price of $63,352, Bitcoin (BTC) is witnessing a 5.61% increase in the last day. With Bitcoin’s market value reaching $1.2 trillion, Coinalyze claims that open interest has jumped 4.62% to $18.2 billion.
Also Read: Genesis to Pay $2 Billion for NY Investor Loss Compensation