German Government Moves Another $17 Million Price of Bitcoin to Exchanges

The German government intensified the sell-from its Bitcoin holdings Tuesday and transferred as many as 282.74 BTC, worth roughly $17.64 million, to major cryptocurrency exchanges Bitstamp, Coinbase, and Kraken.

The transactions required place at 4:20 p.m. Central Indonesian Time.

This follows a broader divestment trend through the German government, with more than 3,000 BTC gone to live in centralized exchanges (CEX) previously two days.

By June 22, 2024, Germany’s Bitcoin holdings were worth $3.06 billion, using the Bitcoin cost at $64,827 along with a total volume of 47.18K BTC. By This summer 2, 2024, these holdings had decreased to $2.89 billion because the cost of Bitcoin slid to $62,671 and also the wallet holdings have been reduced to 46.19K BTC.

During the last ten days, the German Government has offered nearly 1,000 BTC, decreasing about $163.5 million in Bitcoin holdings. The newest change in 282.74 BTC further signifies the ongoing liquidation of Bitcoin assets.

Bitcoin’s cost has decreased from $64,827 to $62,671 within the same period.

The cost decline and substantial sales advise a proper sell-off through the government to take advantage of high costs or adjust financial strategies.

The cumulative purchase well over 3,000 BTC in 2 days signifies significant market activity through the German Government.

This trend of liquidating considerable amounts of Bitcoin could impact market sentiment and cost stability, especially because these assets go into the broader market through major exchanges.

Commenting around the potential market impact, Raj A. Kapoor, Founding father of the Blockchain Governance Council, told Decrypt that such significant movements can make uncertainty and fear among investors. A significant entity just like a government moving considerable amounts of Bitcoin might be construed as too little confidence in Bitcoin or perhaps a precursor to regulatory actions, prompting a sell-off, he added.

“This can lead to short-term volatility as large transfers may cause short-term cost fluctuations as traders respond to this news. The particular impact may ultimately rely on market conditions, overall liquidity, and just how this news is received and construed by market participants,” he stated.

Kapoor also addressed if the government might keep a number of its Bitcoin holdings for greater prices.

“When the government analysts think that Bitcoin prices will probably increase later on according to market trends, economic indicators, and expert forecasts, they could keep their holdings,” he stated.  “Historic data showing Bitcoin’s lengthy-term growth potential might support this decision.”

Edited by Stacy Elliott.