Here’s What Happened in Crypto Today – TradingView News

Following Labour’s landslide victory in the UK general election, cryptocurrency and blockchain advocates have called on the new government to pursue a coherent policy towards digital assets. Meanwhile, Mt. Gox has dominated the news in the past 24 hours, with one analyst claiming that most of the Bitcoin returned by the administrators of the collapsed exchange may be sold. Bitcoin fell to $55,200 on news that creditors had moved $2.7 billion from cold wallets to a new wallet.

UK crypto advocates want clear crypto policy after Labour victory

With the Labour Party set to form a majority government in the UK, cryptocurrency industry advocates have called on the new administration to introduce a coherent digital asset policy.

The leadership change comes at a “watershed moment” for the UK blockchain industry, according to Keld van Schreven, co-founder and managing director of digital asset investment firm KR1.

“A lot of progress has been made in setting out the regulatory framework, but more work needs to be done to make the UK a global hub for cryptocurrencies,” Schreven said.

Meanwhile, Bivu Das, managing director of Kraken UK operations, said he expects cryptocurrency policy to be “business as usual” under the new government. However, “the incoming government has an opportunity to continue to drive innovation and growth in this emerging asset class and strengthen the UK’s position as a leading jurisdiction for blockchain innovation,” Das said.

As of 5 July, Labour had won 412 seats in the 650-seat House of Commons, while the Conservatives were likely to win 122 seats.

Analyst: Up to 99% of Mt. Gox’s $8.2 Billion Bitcoin Could Be Sold

Most Bitcoins BTCUSD repaid by the closed Mt. Gox exchange will be sold on the market, threatening to create more downward pressure on BTC.

According to financial analyst Jacob King, the Mt. Gox repayments could add $8.2 billion in additional selling pressure to the price of Bitcoin.

Analysts said the on-chain moves already indicate that Mt. Gox creditors have begun selling, King wrote in X’s July 4 post:

“No Bitcoin holder will say it out loud, but most of the $8.2 billion in $BTC that is to be returned to former customers will be sold.”

The grim forecast came hours after Mt. Gox began paying down its debts in bitcoin and Bitcoin Cash (BCH), the collapsed cryptocurrency exchange announced on July 5.

Bitcoin Falls to $55K After Mt. Gox Moves $2.7 Billion Out of Cold Storage

Bitcoin fell to $55,200 on Coinbase after the collapse of Japanese cryptocurrency exchange Mt. Gox transferred 47,229 bitcoins — worth $2.71 billion at current prices — to a new wallet address in its first major transaction since May.

According to blockchain analytics platform Arkham Intelligence, the exchange transferred the Bitcoins at 12:30 UTC on July 5 from “cold storage.”

The move comes amid the exchange’s planned plan to begin repaying creditors this month. A total of $8.5 billion worth of Bitcoin is set to be returned to creditors.

Several market commentators have raised concerns about the huge amount of Bitcoin that could hit the market after Mt. Gox creditors sold their holdings that had been unavailable for more than a decade.

Other analysts, however, sought to allay fears of a massive sell-off, saying the total amount of bitcoin that will be “dumped” onto the market is likely closer to around $4.5 billion.

On May 28, Mt. Gox transferred nearly $7.3 billion worth of Bitcoin to another unknown wallet address. Bitcoin’s price later fell by as much as 2%.

Additional information provided by Felix Ng, Sam Bourgi and Geraint Price.