German Authorities Increase Bitcoin Sales

In recent weeks, German authorities have stepped up the sale of significant amounts of Bitcoin (BTC). This has resulted in increased selling pressure on the world's largest cryptocurrency. Bitcoin has fallen over 20% in the past month.

The selling spree began last month. The German government initiated the sale of seized Bitcoin, which was from a wallet operated by the country's Federal Criminal Police Office, commonly known as the Bundeskriminalamt (BKA).

The BKA sold 900 BTC in June, which were valued at around $52 million at the time. The Bitcoins were part of a massive haul seized from a now-defunct movie piracy website.

Subsequently, the government sold an additional 3,000 BTC, worth approximately $172 million. This was followed by another sale of 2,739 BTC, equivalent to $155 million this week.

The latest data from blockchain analytics firm Arkham adds to these figures. The German government's wallet sold over 5,000 BTC on Wednesday, leaving just 15,552 BTC in its stash, which is worth around $892 million. This represents a sell-off of more than 80% of the entire stash of 50,000 BTC seized.

Despite the significant sell-off, Bitcoin has managed to maintain its price above the crucial 6-month support level of $50,000. This signals resilience in the face of the massive selling pressure witnessed in the market over the past 30 days.

Furthermore, many investors, including institutional asset managers, view the recent pullback from all-time high levels as a buying opportunity. This has contributed to the slight recovery in Bitcoin prices over the past few days.

Akrham even stated in a social media post, "The German government is selling, but Blackrock is buying."

Recent data shows that on Wednesday, the Bitcoin ETF market activity saw a net addition of 4,862 BTC valued at $281 million. This has mitigated the impact of the daily sell-off by the German authorities.

BlackRock, for instance, is one of the largest ETF issuers by assets under management. BlackRock increased its BTC holdings today by 2,095 BTC (worth $121.16 million).

This brings its total holdings to 312,565 BTC, worth $18.08 billion. This move has significantly stabilized and supported the Bitcoin price.

The largest cryptocurrency on the market is currently trading at $57,430. This is almost unchanged from Tuesday's price, which dropped slightly by 0.4% in the last 24 hours.

Nevertheless, BTC still records a price drop of over 22% from its all-time high of $73,700, reached in mid-March.