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Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

German Government’s Bitcoin Dump Surpasses $195M As Selling Spree Persists

Ronaldo Marquez
Ronaldo Marquez
11 months ago
3 mins read
Bitcoin

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The German government has recently begun selling millions of dollars worth of Bitcoin (BTC) from a confiscated wallet, further contributing to the lack of catalysts for a price recovery in the cryptocurrency market. 

The move comes as increased selling activity and unprecedented selling by long-term BTC whales have led to a sharp price correction, preventing Bitcoin from consolidating above $70,000 and retesting its previous all-time high.

Whales And German Government Fuel Market Volatility

According to blockchain analysis platform Arkham, the German government has initiated the process of selling Bitcoin on cryptocurrency exchanges. During Thursday’s morning trading session, $65 million worth of BTC was sent to two likely exchange deposits, including Coinbase. 

NewsBTC reported on Wednesday that the German Government moved $600 million worth of BTC, with $130 million sent to four likely exchange deposits, including Kraken and Bitstamp. Arkham’s records indicate that the German Government still holds $3.05 billion worth of BTC.

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In late January, the German police seized the country’s largest cryptocurrency, confiscating 50,000 Bitcoin worth $2.17 billion. The seizure occurred after the suspects voluntarily transferred the BTC to official wallets provided by the Federal Criminal Police Office (BKA).

Moreover, recent on-chain data reveals that long-term BTC whales have sold a substantial $1.2 billion worth of Bitcoin over the past two weeks, further exacerbating the market downturn. 

Bitcoin Price Analysis

In a recent social media post, technical analyst Mags, provided an insightful analysis of Bitcoin’s current price action, suggesting a potential mid-range breakdown. Mags highlights two possible scenarios for the market’s future direction: 

  • Scenario 1: Reclaim the mid-range: According to Mags, the recent pump on Thursday, which temporarily pushed the price above $66,000, has been completely retraced as BTC trades at $64,860, indicating a bearish retest on the daily chart. 
  • Scenario 2: Retesting the range low: Mags highlight an important support level near the range low of $60,500. This level holds significance in determining the potential future trajectory of BTC’s price. 

Bitcoin reclaims the mid-range level in this scenario, leading to a potential run back towards the range high. According to Mags’ analysis, if this scenario plays out, it may result in a breakout above the previous range high, suggesting a bullish trend continuation.

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Alternatively, BTC may retest the range low before moving higher. If this scenario unfolds, it could lead to a prolonged period of sideways movement, potentially prolonging the consolidation phase. 

However, even in this scenario, Mags maintains a bullish outlook as the overall higher time frame structure remains positive.

Bitcoin
The daily chart shows that BTC’s price is trending downward. Source: BTCUSD on TradingView.com

Featured image from Shutterstock, chart from TradingView.com 

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Ronaldo Marquez
Ronaldo Marquez

Ronaldo Marquez

Ronaldo is an experienced crypto enthusiast dedicated to the nascent and ever-evolving industry. With over five years of extensive research and unwavering dedication, he has cultivated a profound interest in the world of cryptocurrencies.

Read more

Ronaldo's journey began with a spark of curiosity, which soon transformed into a deep passion for understanding the intricacies of this groundbreaking technology.

Driven by an insatiable thirst for knowledge, Ronaldo has delved into the depths of the crypto space, exploring its various facets, from blockchain fundamentals to market trends and investment strategies. His tireless exploration and commitment to staying up-to-date with the latest developments have granted him a unique perspective on the industry.

One of Ronaldo's defining areas of expertise lies in technical analysis. He firmly believes that studying charts and deciphering price movements provides valuable insights into the market. Ronaldo recognizes that patterns exist within the chaos of crypto charts, and by utilizing technical analysis tools and indicators, he can unlock hidden opportunities and make informed investment decisions. His dedication to mastering this analytical approach has allowed him to navigate the volatile crypto market with confidence and precision.

Ronaldo's commitment to his craft goes beyond personal gain. He is passionate about sharing his knowledge and insights with others, empowering them to make well-informed decisions in the crypto space. Ronaldo's writing is a testament to his dedication, providing readers with meaningful analysis and up-to-date news. He strives to offer a comprehensive understanding of the crypto industry, helping readers navigate its complexities and seize opportunities.

Outside of the crypto realm, Ronaldo enjoys indulging in other passions. As an avid sports fan, he finds joy in watching exhilarating sporting events, witnessing the triumphs and challenges of athletes pushing their limits. Furthermore, His passion for languages extends beyond mere communication; he aspires to master German, French, Italian, and Portuguese, in addition to his native Spanish. Recognizing the value of linguistic proficiency, Ronaldo aims to enhance his work prospects, personal relationships, and overall growth.

However, Ronaldo's aspirations extend far beyond language acquisition. He believes that the future of the crypto industry holds immense potential as a groundbreaking force in history. With unwavering conviction, he envisions a world where cryptocurrencies unlock financial freedom for all and become catalysts for societal development and growth. Ronaldo is determined to prepare himself for this transformative era, ensuring he is well-equipped to navigate the crypto landscape.

Ronaldo also recognizes the importance of maintaining a healthy body and mind, regularly hitting the gym to stay physically fit. He immerses himself in books and podcasts that inspire him to become the best version of himself, constantly seeking new ways to expand his horizons and knowledge.

With a genuine desire to become the best version of himself, Ronaldo is committed to continuous improvement. He sets personal goals, embraces challenges, and seeks opportunities for growth and self-reflection. Ultimately, combining his passion for cryptocurrencies, dedication to learning, and commitment to personal development, Ronaldo aims to go hand-in-hand with the exciting new era that the emerging crypto technology is bringing to the world and societies.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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