US Government's Bitcoin (BTC) Transfer Creates Sell-Off Fears Amid Market Volatility.
Today, the US government transferred a large amount of Bitcoin, sparking curiosity in the crypto community. This isn't the first time we've seen this type of movement. They moved 2,000 BTC on June 2, leading to widespread speculation about a potential sell-off. The latest transaction adds to these concerns and many people are wondering about its effects on Bitcoin prices.
Information on Government Bitcoin Assets
According to Arkham Intelligence, a US government wallet recently moved 11.84 BTC worth approximately $726,000. This move, although small on its own, is seen as a harbinger of a larger transfer. These funds were seized from Estonian entrepreneurs Sergei Potapenko and Ivan Turogin, who were associated with a major crypto fraud scheme. The funds have since become part of the US government's Bitcoin reserves.
Previous transactions, such as the 4,000 BTC moved to Coinbase Prime on June 26, coincide with noticeable market reactions. At that time, Bitcoin price dropped to $61,208; This reflects market sensitivity to major transfers. Recent actions by the US government add to existing fears and mirror similar actions by the German government, which regularly sells Bitcoin.
On the same day as the last US transaction, German authorities transferred 595 BTC to major exchanges. Over the last few days, the German government sold more than 2,000 BTC from an address linked to them, creating further market concerns. The simultaneity of these government Bitcoin transactions did not go unnoticed, especially considering Germany reported Bitcoin assets of $2.76 billion, including $1.1 billion in unrealized profits.