The long-dormant Mt. Gox exchange has stirred up concerns in the cryptocurrency market as a significant amount of Bitcoin is set to be released to creditors. A total of 137,890 BTC, valued at $9.4 billion, is expected to be distributed, raising fears of increased selling pressure and a potential drop in Bitcoin's price.

Mt. Gox, once the world's leading Bitcoin exchange, was hacked in 2014, resulting in the loss of over 850,000 BTC. After years of legal battles, a rehabilitation plan was approved in 2021, allowing creditors to recover some of their lost funds. The planned repayments have sparked mixed reactions from experts, with some concerned about a potential flood of coins in the market, leading to a selloff.

However, some analysts believe that the market has already absorbed similar sell-offs in the past. James Van Straten, a senior analyst at CryptoSlate, notes that Grayscale Bitcoin Trust and Long-Term Holders sold around 1 million BTC in the last five months, which the market was able to absorb without significant impact. In comparison, the Mt. Gox repayments would be a fraction of this amount.

While some creditors may choose to sell their recovered coins, others may opt to hold or buy more, depending on their investment strategies. The long-term impact of Mt. Gox repayments could be positive, increasing institutional adoption and investor confidence in the Bitcoin ecosystem.

In conclusion, the Mt. Gox repayment plan has raised concerns about its potential impact on Bitcoin's price. However, the market has shown resilience in the past, and the long-term effects could be positive. As the market continues to evolve, it remains to be seen how the distribution of these coins will affect Bitcoin's price and the overall health of the cryptocurrency market.