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stable at $68,000 amid rate fears, MT Gox risk declines From Investing.com
Investing.com– Bitcoin price rose slightly Wednesday but remained squarely within a recent trading range as caution over U.S. inflation and interest rates kept traders largely asset-oriented averse to risk like cryptocurrencies.
But the world’s largest cryptocurrency saw some price growth after media reports suggested that cryptocurrency exchange Mt Gox made it clear that it had no immediate plans to sell its large Bitcoin holdings, although it was preparing a plan to repay creditors.
rose 1.5% over the past 24 hours to $68,826.3 by 0100 ET (0500 GMT). The token remained exactly within the range between $60,000 and $70,000 observed over the last two months.
Mt Gox saw Bitcoin holdings mobilized, but no sales occurred
Bitcoin was spooked by the failure of cryptocurrency exchange Mt Gox which moved around $9 billion worth of tokens this week, sparking speculation that the exchange was planning to offload the token to pay off its creditors and account holders.
But subsequent reports said the exchange had no plans to immediately offload any tokens, although it was still preparing to repay its obligations.
Former Mt Gox CEO Mark Karpeles said the moved Bitcoins were likely trustees moving the tokens in preparation for an eventual distribution and that there was no imminent sale taking place.
Mt Gox has been a key point of contention for Bitcoin traders, as the now-defunct exchange has a huge pool of tokens that it will likely liquidate to repay creditors. Such a liquidation could put massive immediate selling pressure on the world’s largest cryptocurrency.
Cryptocurrency price today: altcoins advance, rate fears limit gains
Most major altcoins rose slightly on Wednesday, with the No. 2 in the world up 0.8% to 3,864.29 dollars. The token remained near two-month highs, retaining much of its recent gains after the Securities and Exchange Commission marked some progress toward approving an exchange-traded fund that directly tracks the token.
Similar spot products have also started to trade on UK markets.
Other altcoins rose slightly, though gains were limited amid lingering concerns about high long-term interest rates and sticky inflation.
rose 0.8%, while it added 3.6%. Among meme tokens, the increase was nearly 17%, while the increase was 2.6%.
This week the focus was exclusively on the data, which is the Federal Reserve’s preferred inflation indicator. The reading is due on Friday and is likely to take into account the central bank’s interest rate plans.
The data comes as a number of Fed officials have warned that rates will stay higher for longer, a scenario that bodes well for cryptocurrencies.