The German Government is selling Bitcoin tokens seized from the piracy website Movie2K. Not a lot is known about how many tokens it had, but it has come to light that there are still more than 40,000 tokens lying with it at the moment. They are worth approximately $2.3 billion, according to data published by Arkham, a blockchain intelligence firm. Justin Sun, the Founder of Tron, has come forward to negotiate and buy those tokens off-market.
As Mt. Gox begins to pay out a settlement to its creditors, the German Government begins selling Bitcoin. Both incidents add selling pressure to BTC and, thereby, affect the crypto market on a broader level. This might have pinched Justin a little bit, who is willing to buy those tokens off the market and lower the impact of fluctuations on price charts.
BTC liquidation by the German Government was for $175 million as of July 04, 2024. It happened in two separate transactions valued at around $76 million and $99 million for 1,300 BTC and 1,700 BTC, respectively. While the first transaction was to move Bitcoin to Bitstamp, Kraken, and Coinbase, the latter transaction moved the said number of tokens to address 139Po. Arkham further stated,”These funds are likely moving to a deposit for an institutional service or OTC.”
Justin Sun responded to the selling activity by publishing a post on X. He said he was willing to negotiate to purchase all BTC off-market to minimize the impact on the market.
BTC liquidation by the German Government could not have come at the wrong time. Mt. Gox is already exerting pressure on the market. The defunct crypto exchange platform was last seen moving Bitcoin worth $2.6 billion. This is a part of the $9 billion settlement with creditors who were the victims of the 2014 hack. They had been demanding their dues back for a long time, and Mt. Gox is finally honoring that demand.
There is a massive dip in Bitcoin’s value. The flagship token has slipped below $60,000 and is exchanging hands at $54,523.96, dropping 7.33% in the last 24 hours and 11.44% in the last 7 days. The market cap is also down. The 24-hour trading volume, however, is up by 52.35%.
What’s causing this selling pressure is the speculation that several creditors of defunct platforms who receive their dues would be looking to sell their portions to take home profits. They had bought their share back in 2013—values have gained a lot since then, and it only makes sense to make the most of it.
Near-term predictions of Bitcoin are bullish, except they now project a lower margin in the next 5 days and 30 days. The previously anticipated mark of $84,000 is out of the picture for a while. Bitcoin is still poised to achieve $100,000 by the end of the year.