Bitcoin price falls below $57,000, losing 200-day moving average! "National whale dumping" triggers panic selling! Is the opportunity to buy at the bottom coming? On Friday (July 5), Bitcoin rebounded slightly after falling below $57,000 in the short term, but bears still dominate. The German government sold another 1,300 bitcoins, triggering panic in the market, causing Bitcoin prices to fall below the 200-day moving average, an important technical indicator used by traders to judge long-term trends.

Arkham data monitoring shows that the whale wallet address marked as "German Government" transferred a total of 1,300 bitcoins worth approximately US$75.53 million to Bitstamp, Coinbase and Kraken.

The sell-off caused Bitcoin prices to fall below the key 200-day simple moving average (SMA), a technical indicator often used by traders to identify long-term trends.

Justin Sun, founder of TRON, said in a tweet: “I am willing to negotiate with the German government to purchase all Bitcoin off-market to minimize the impact on the market.”

QCP Capital noted that it was another day of heavy selling pressure, causing Bitcoin to fall below the $60,000 support level and hit a low of $57,875.

The report also highlighted signs of miner capitulation, a phenomenon that has historically been associated with price bottoms, such as the sharp drop in hash rate when Bitcoin traded at $17,000 in 2022.

Despite the ongoing sell-off, the options market remains optimistic, especially for Ether.

QCP Capital added: “The options market remains bullish as we continue to see strong interest in Ethereum call options for September and December expirations.”

Additionally, markets are preparing for the impact of the upcoming Mt. Gox repayment to creditors.

The Mt. Gox rehabilitation trustee plans to distribute billions of dollars worth of Bitcoin and Bitcoin Cash (BCH) to creditors between July 1 and October 31, 2024, according to Peter Chung, head of research at Presto.

The market expects this influx to significantly alter supply and demand dynamics.

“Our analysis shows that the selling pressure on Bitcoin Cash will be 4 times that of Bitcoin,” Chung explained, suggesting a potential trading opportunity for those looking to ride market volatility.