A cryptocurrency wallet labeled as belonging to the German Government (BKA) has successfully sold Bitcoin worth over $54 million. On June 25, the wallet conducted three separate transactions, selling a total of 900 BTC. The first transaction involved sending 200 BTC to the Coinbase exchange, while the second transfer of 200 BTC went to the Kraken exchange. The third transaction, however, saw 500 BTC, equivalent to over $30 million, being sent to an unknown wallet labeled as “139Po,” according to Arkham Intelligence, an on-chain intelligence provider. It is worth noting that this is not the first time the German government has interacted with the “139Po” address. On June 20, they sent 800 BTC, followed by another 500 BTC on June 19. As of now, the wallet still holds 46,359 Bitcoin, as reported by Arkham Intelligence.
The government-labeled wallet, which holds Bitcoin worth over $2.8 billion, could potentially exert significant selling pressure, causing a decline in Bitcoin’s price below the psychologically important $60,000 mark. Bitcoin’s price has been on a downward trend, falling 11% on the monthly chart and over 7% on the weekly chart. It is currently trading just above $61,000, according to Bitstamp data.
Renowned analyst Willy Woo suggests that Bitcoin might experience a correction lasting up to four weeks based on technical chart patterns before its price rally resumes. In a post on June 22, he shared this analysis with his over 1.1 million followers.
The German government-labeled wallet first caught attention on June 19 when it conducted a transfer of 6,500 BTC, worth over $425 million. This sparked speculation about potential Bitcoin selling. Additionally, the majority of the Bitcoin held in the wallet is being transferred to centralized exchanges (CEXs), indicating the government’s potential intention to sell. The wallet had been holding nearly 50,000 BTC since February 2024, with the funds believed to have been seized from the operator of the pirated movie website Movie2k.
Furthermore, the upcoming month of July could bring more selling pressure for Bitcoin, as the collapsed cryptocurrency exchange Mt. Gox announced its plans to repay its defunct users. Approximately $9.4 billion worth of Bitcoin is owed to around 127,000 creditors of Mt. Gox, who have been waiting for over a decade to recover their funds. This could further impact Bitcoin’s price.