Bitcoin
Bitcoin’s Big Price Headwind Just Disappeared
Alex Dovbnya
Bitcoin bulls have a reason to be optimistic as a German state has finally finished selling its BTC holdings
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According to cryptocurrency research firm Arkham Intelligence, Saxony, a state in eastern Germany, now has liquidated all your Bitcoin assets.
Saxony’s relentless selloff has been a major bearish headwind for the leading cryptocurrency by market cap since early June. Last week, the leading cryptocurrency fell below the $64,000 level, hitting its lowest price point in roughly five months.
The German state originally owned 50,000 Bitcoins that were confiscated earlier this year from the operators of the piracy website Movie2K.
After the seizure, Germany was ranked as one of the largest holders of Bitcoin among different governments (behind only the US, China, and the UK). However, it no longer holds any Bitcoin.
As reported by U.TodaySaxony’s selloff was absorbed by Bitcoin ETF investors eager to buy the dip. On Thursday, these products saw another $79 million in inflows. In fact, they’ve now seen their best week since May, with an impressive $882 million in inflows.
The sell-off has naturally drawn a lot of criticism from members of the Bitcoin community. German pro-crypto MP Joana Cotar called for the sales to be halted, arguing that holding the cryptocurrency would be beneficial to the state.
Despite the apparent end of Saxony’s Bitcoin sales, there are also other headwinds, such as Mt. Gox refunds. This means that Bitcoin bulls are not out of the woods yet.
The leading cryptocurrency is currently trading at $57,723, according to CoinGecko. data.
About the author
Alex Dovbnya
Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader, and journalist with extensive experience covering everything related to the burgeoning industry — from price analysis to blockchain disruption. Alex has authored over 1,000 stories for U.Today, CryptoComes, and other fintech media outlets. He is particularly interested in regulatory trends around the world that are shaping the future of digital assets, and can be reached at alex.dovbnya@u.today.