German government nears end of Bitcoin sale
The German government, one of the main actors in the Bitcoin (BTC) decline, sold 87 percent of its BTC holdings. According to on-chain data, the German government's BTC sales will end soon.
Blockchain data platform Arkham Intelligence confirmed that on July 11, the German government transferred 10,620 BTC worth around $615 million to exchanges such as Coinbase, Bitstamp, Kraken, and Flow Traders. After this transfer, the amount of BTC held by the German government dropped below 5,000 BTC. Shortly after, some of these funds were transferred back to the German government’s wallet. The German government’s wallet contained 9,094 BTC.
The German government resumed its sales during the day. The German government transferred 2,700 more BTC to exchanges until half an hour ago. The government's crypto wallet remains at 6,394 BTC.
German government is no longer a threat to Bitcoin
The German government sold 87 percent of its Bitcoin (BTC) reserves last month. Current figures show that the German government owns only 13 percent of the 49,857 BTC it seized from pirated movie site Movie2k.
Despite significant sales by the German government, the BTC price managed to stay strong in the $57,000 region. Inflation data from the US also provided a lifeline for BTC.
It is thought that the German government, which has close to $520 million in BTC assets, will continue the sales. These sales are not expected to have a negative impact on the cryptocurrency market as before.
The pressure from the German government, combined with Mt Gox’s announcement that it would repay over $8 billion worth of BTC to its creditors, led to a massive crash in the cryptocurrency market.
The Fear and Greed Index, which tracks the sentiment of the cryptocurrency market, also retreated to the “Extreme Fear” region after a long time.
