Mt Gox, the infamous Bitcoin exchange that collapsed in 2014, has made substantial Bitcoin (BTC) transfers to creditors as part of its repayment plan.

The defunct exchange moved over $2.8 billion worth of Bitcoin today. Hence, according to previous payouts, the creditor repayment in BTC could be witnessed today.

Major Bitcoin Movement

According to Arkham Intelligence, on Tuesday, July 23, Mt Gox moved 42,587 BTC, valued at approximately $2.85 billion, to an internal wallet.

Another 5,110 BTC was added via a different internal wallet, signaling the exchange's repayment preparation. Hence, the collapsed exchange currently holds 90,344 BTC worth $6 billion.

The previous day, Monday, July 22, marked the beginning of this repayment process. Moreover, this news coincides with the imminent launch of Spot Ethereum ETFs, which created buzz and speculation about the potential market impact on Bitcoin and Ethereum price actions.

Testing Phase

According to data from Arkham Intelligence, Mt Gox I made a series of smaller Bitcoin transfers on Monday.

The most recent transactions involved 0.021 BTC, valued at approximately $1,390, sent to an address 1C9Vo...t81Fa. This transfer occurred just minutes before the report was issued, mirroring a similar transaction made six days prior.

The repetitive nature of these transactions, involving 0.021 BTC from a Mt Gox-associated address, suggests that these could be part of a testing phase for their transfer capabilities.

Arkham confirmed the duplicate nature of these transactions. Thus, today, speculations hold that these small-scale transfers were a precursor to more significant movements.

Previous Announcements

On July 16, Mt Gox announced it initiated Bitcoin and Bitcoin Cash repayments to 13,000 out of approximately 20,000 creditors. This announcement was accompanied by a massive $6 billion move in Bitcoin. Moreover, the latest shift on July 23 mirrors a similar approach.

Market Speculation

The timing of these substantial Bitcoin movements has sparked intense speculation about their potential impact on the crypto market. The latest shift on July 23 coincides with the launch of the Spot Ethereum ETF, which has already created ripples in the market.

The crypto market witnessed a bearish session as the Ethereum ETF launch emerged as a "sell the news" event.

Additionally, Ethereum whales are looking to book profits from the ETF hype. This sentiment has analysts warning against a dip below $3,000 for Ethereum.

Market Impact

However, despite the bearish trend, the inflows from the ETF and the gradual adoption of these products are expected to drive Ethereum prices beyond $4,000. In addition, Bitwise CIO Matt Hougan had previously set a $5,000 target for ETH following the ETF launch.

Nonetheless, at press time, both BTC and ETH witnessed a plunge. The BTC price lost hold on the $67,000 level and traded at $66,676.33, down 1.34%. At the same time, Ether's price dropped 1.55% to $3,450.

However, the decline in Bitcoin could be momentary. On July 16, when Mt Gox made a huge repayment, the BTC price remained resilient at $65,000.