The sale of over $54 million worth of Bitcoin by a cryptocurrency wallet labeled as the “German Government (BKA)” has been reported.
The German government’s wallet conducted three separate transactions on June 25, selling a total of 900 Bitcoin (BTC). The first 200 BTC were sent to the Coinbase exchange, followed by the transfer of another 200 BTC to the Kraken exchange. The third transaction involved the transfer of 500 BTC, valued at over $30 million, to wallet “139Po,” which remains unidentified, as per onchain intelligence provider Arkham Intelligence.
Although the identity of wallet “139Po” remains a mystery, this is not the first time it has been involved with the German government. On June 20, the German government sent 800 BTC to the address, and another 500 BTC was sent on June 19. As of today, the wallet still holds 46,359 Bitcoin, according to Arkham Intelligence.
The labeled government wallet currently holds over $2.8 billion worth of BTC and could potentially create significant selling pressure, causing Bitcoin’s price to drop below the psychological mark of $60,000.
The price of Bitcoin has been on a downward trend, declining by 11% on the monthly chart and over 7% on the weekly chart, and is currently trading just above $61,000 as of 9:40 am UTC, based on Bitstamp data. According to popular analyst Willy Woo, technical chart patterns suggest that Bitcoin could undergo a correction lasting up to four weeks before its price rally resumes.
The German government-labeled wallet first raised suspicions of potential Bitcoin selling on June 19 when it carried out a 6,500 BTC transfer worth over $425 million. Aside from the transfer to untagged wallets, most of the Bitcoin has been moved to centralized exchanges, indicating that the government may be considering selling Bitcoin.
Before the transfer, the wallet had held nearly 50,000 BTC since February 2024, believed to have been seized from the operator of the pirated movie website Movie2k. Additionally, the announcement that the defunct cryptocurrency exchange Mt. Gox will begin repaying its users in July could also lead to further selling pressure for Bitcoin. Mt. Gox owes over $9.4 billion worth of Bitcoin to roughly 127,000 creditors who have been waiting for over a decade to recover their funds.