Germany's aggressive Bitcoin sell-off has seen the government liquidate 82% of its reserves in the past month. Initially holding over 49,857 BTC, the government's wallet now holds just 9,094 Bitcoin. Despite this, Bitcoin's price has remained stable around $57,000, largely due to strong inflows into Bitcoin ETFs and positive economic indicators such as lower-than-expected US CPI data for June.

Bitcoin bulls have faced challenges recently, struggling to surpass key resistance levels and stay above $57,000. The selling pressure from Germany's BTC liquidation has added to this struggle. However, there are signs that the downside may be limited, with the sell-off from Germany's Saxony state nearly exhausting its supply and other macro factors potentially providing support for BTC prices.

The potential for a Fed rate cut, positive developments in crypto policies, and the possibility of inflows from FTX repayments could all support Bitcoin prices. The MACD histogram on Bitcoin's daily chart hints at a potential bullish shift. As the German government continues to liquidate its BTC holdings, the market remains watchful, with the broader economic environment playing a significant role in Bitcoin's future.