German Government Sells Off Entire Bitcoin Holdings, Experts Remain Optimistic

• Germany has sold its entire Bitcoin holdings, totaling $2.9 billion, affecting BTC prices.
• The seized Bitcoin originated from a 2013 operation against the Movie2k.to film piracy site.
• Despite the sell-off, market experts predict a BTC rebound due to positive inflation data and upcoming Ethereum ETFs.

Germany has officially sold all of its Bitcoin holdings, approximately $2.9 billion in total. According to Arkham Intelligence, the German government has executed several transactions in the last 24 hours to offload its BTC supply. As a result, Germany no longer holds any of the world’s leading cryptocurrencies.

In June, Germany held up to 50,000 BTC. These assets, seized in January, were valued at $2.8 billion. On Monday, the government sold $900 million worth of Bitcoin from its wallet, marking its largest single-day liquidation. This action significantly impacted Bitcoin’s price.

Background of the Seizure

The seized Bitcoin originated from a major operation in 2013 when the BKA confiscated nearly 50,000 BTC from the operators of Movie2k.to, a notorious film piracy site. These assets, at current prices, are worth nearly $3 billion. Similar to the U.S., Germany sold its Bitcoin through exchanges like Bitstamp and Kraken.

Bitcoin’s price has fallen from its steady resistance level at $60,000 range to a four-month low. At press time, Bitcoin was trading at $57,700 and has dropped by 15% in the last 30 days. The German government’s sell-off, coupled with Mt. Gox Bitcoin liquidations, has caused market panic, leading to the recent decline.

Future Prospects

Despite the sell-off, there is optimism for Bitcoin’s future. With the liquidation completed and positive recent inflation data, some market experts believe BTC will rebound in the coming weeks. 

Additionally, the anticipated launch of Ethereum ETFs could boost interest in the ETF market, benefiting Bitcoin ETFs and BTC itself.