QCP Capital Analyzes Crypto Market Amid Volatility, Notes Impact of Mt. Gox BTC Release

QCP Capital, a prominent digital asset firm based in Singapore, has released a new analysis on the future trajectory of the crypto market amid increased volatility. In a post on their official Telegram channel, QCP Capital highlighted that Bitcoin's (BTC) price action will be influenced by the release of BTC tied to the defunct Mt. Gox exchange in Shibuya, Tokyo, Japan.

Mt. Gox, which collapsed in 2014, was one of the earliest digital asset trading platforms. Affected users have awaited the return of their funds for years, and according to a Bloomberg report, they are now closer to recovering their BTC. Mt. Gox holds approximately $9.2 billion worth of BTC, with a return deadline set for October 31, 2024. The crypto community is concerned about the potential impact of this large amount of Bitcoin entering the market. QCP Capital suggests this uncertainty could hinder BTC's price, potentially benefiting Ethereum (ETH) with the launch of the ETH spot ETF, noting bullish sentiment for ETH.

Concerns arose within the Bitcoin community when Mt. Gox transferred at least $9.6 billion worth of Bitcoin to an unknown address after five years of inactivity, according to Arkham Intelligence. Former Mt. Gox customers might seek to capitalize on their gains, which could drive Bitcoin's price down if a significant sell-off occurs.

Shift in Trading Activity: Bitcoin to Meme Tokens

QCP noted that Bitcoin has retested the $67,000 level multiple times in the past two weeks, continuing its consolidation within this range. Meanwhile, trading activity has shifted to meme coins like Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe (PEPE). Over the past 30 days, DOGE has risen by 18.0%, SHIB by 16.5%, and PEPE by 105.8%, with PEPE outperforming other leading meme tokens and some blue-chip tokens like Polygon (MATIC).

Additionally, Trump-themed meme coins, such as Trump (TRUMP), MAGA (TRUMP), and Super Trump (STRUMP), have provided significant profits to holders following former US President Donald Trump's vocal support for the digital asset community. Telegram-related coins, including Notcoin (NOT) and Toncoin (TON), have also seen substantial gains, up 121.5% and 24.8% respectively over the past 30 days.