A cryptocurrency wallet associated with the German government, known as the “German Government (BKA)” wallet, has recently sold $52 million worth of Bitcoin. This has raised suspicions that the government is offloading its substantial BTC holdings.
On July 2, the wallet made four separate transactions, transferring a total of 832.7 Bitcoin. According to data from Arkham Intelligence, 100 BTC was sent to Coinbase, 150 BTC to Bitstamp, and 32.74 BTC to Kraken.
The largest portion of the funds, amounting to 550 BTC worth over $32 million, was sent to a wallet identified as “139Po.” This wallet is unknown, but it has previously received funds from the German government, including 500 BTC on June 25 and 800 BTC on June 20.
Monitoring the selling behavior of entities with large Bitcoin holdings can provide valuable insights for investors, as significant sell orders can put downward pressure on the Bitcoin price.
The “German Government (BKA)” wallet, which currently holds over 43,850 BTC worth over $2.75 billion, could potentially impact the price of Bitcoin due to the increased selling pressure.
Bitcoin’s price has been on a downward trend since the beginning of June, experiencing a decline of over 7.3% in the past month. However, it found support above the $58,450 level on June 24 and has since rebounded above the current $62,000 mark, according to Bitstamp data.
The $61,500 mark has become a significant support level for Bitcoin. If the price drops below this level, it could result in the liquidation of over $1 billion worth of leveraged long positions across various exchanges, as reported by Coinglass.
The transfer of the majority of the Bitcoin funds to centralized exchanges suggests that the German government may indeed be planning to sell its Bitcoin holdings. Cointelegraph has reached out to Germany’s Federal Criminal Police Office (BKA) for comment on this matter.
This is not the first time that suspicions have been raised regarding the potential selling of Bitcoin by the German government. On June 19, the government-labeled wallet executed a transfer of 6,500 BTC worth over $425 million, leading to speculations about its intentions. Prior to this transfer, the wallet had held nearly 50,000 BTC since February 2024. These funds are believed to have been seized from the operator of the pirate movie website, Movie2k.