Bitcoin’s market stability faces potential disruption as uncertainty looms over the impending release of Mt. Gox’s bitcoin supply by October, according to analysts at QCP Capital. This anticipated influx of bitcoin could impact prices significantly, posing a challenge for the cryptocurrency.
In a report released on Thursday, QCP Capital’s team highlighted the market’s consolidation within a narrow range, suggesting this period of uncertainty might actually benefit ether, especially with the upcoming launch of the spot ETH ETF. “Accumulators continue to be attractive, allowing traders to consistently accumulate ether at a discount,” the analysts noted.
Echoing this sentiment, Bitfinex analysts expressed concerns over the potential supply anxiety from the Mt. Gox creditor payouts. “If creditors decide to liquidate their holdings quickly, we could see a sharp decline in bitcoin prices due to the sudden influx of sell orders,” they told The Block, warning of a possible cascade of further selling as panic spreads.
Meanwhile, trader interest has shifted towards memecoins such as dogecoin, shiba inu, and pepe, which have seen double-digit gains amid the anticipation of the ether ETF launch. According to QCP Capital’s report, these higher beta tokens have surged between 10-20%, attracting significant open interest.
Notably, the PolitiFi token category, featuring politically-themed memecoins, has posted remarkable gains. The top three by market capitalization—MAGA, ConstitutionDAO, and MAGA Hat—account for approximately 82% of the category’s $1.58 billion total market capitalization, with MAGA Hat soaring by 603% in the past week, according to CoinGecko.