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Bitcoin Steady at $58.5K as German State Saxony Moves Over $600M in BTC

Bitcoin Steady at $58.5K as German State Saxony Moves Over $600M in BTC

Bitcoin Steady at $58.5K as German State Saxony Moves Over $600M in BTC

BTC held largely steady amid the continued divestment of coins, having failed to keep gains above $59,000 during the Asian hours.

BTC held largely steady amid the continued divestment of coins, having failed to keep gains above $59,000 during the Asian hours.

BTC held largely steady amid the continued divestment of coins, having failed to keep gains above $59,000 during the Asian hours.

AccessTimeIconJul 10, 2024, 10:35 AM
Updated Jul 10, 2024, 12:49 PM
Saxony, Leipzig (Harald Nachtmann/Getty Images)
  • The wallet associated with the German Federal Criminal Police Office (BKA) moved 5,103.5 BTC during the European hours, according to Arkham Intelligence.
  • BTC held largely steady amid Germany's continued divestment of coins.

Bitcoin (BTC) holds steady at around $58,500 amid German state Saxony's fresh movement of coins on-chain, having failed to keep gains above $59,000 during the Asian hours.

At press time, the leading cryptocurrency by market value traded at $58,470, down 1.6% from the high of $59,450 reached at 1:06 UTC, according to data tracked by CoinDesk.

Per Arkham Intelligence, so far today, the German Federal Criminal Police Office (BKA) has moved over 10,853 BTC worth $637 million, to exchanges Kraken and Coinbase and market makers like Cumberland and Flow Traders, continuing its proactive approach of liquidating BTC seized from a privacy website.

On Tuesday, CoinDesk reported that it was the German state of Saxony that has been moving bitcoin for the past few weeks in accordance with standard procedure.

The state began selling BTC in the second half of June and has since liquidated 30,997 BTC, roiling the crypto market. BTC has dropped over 15% in the past four weeks, with prices hitting a low of $53,550 at one point last week. As of writing, the wallet tied to BKA held 13,360 BTC ($784.96 million).

The steady price action suggests the market is slowly getting comfortable with the divestment and potential selling by Mt. Gox creditors.

"The market seems to be growing more comfortable with the outflows from Mt. Gox and the German government. The spot Bitcoin ETFs are now seeing strong inflows again, indicating signs of a trend reversal. This is further supported by the RSI, which shows that the undersold level we highlighted a few days ago was seen as an opportunity by investors," Valentin Fournier, analyst at BRN, said in an email.

"We continue to expect positive news from [Thursday's U.S.] CPI, but we anticipate the Fed will delay rate cuts until September. Possible hawkish comments, as seen after the strong PCE on June 28, could lead the market to react as if inflation is not decreasing. Therefore, we recommend taking profits ahead of a potentially shaky end to the week."

Still, the broader outlook remains positive with major economies in an expansionary phase of the business cycle and traditional market exhibiting peak optimism for technology stocks.

UPDATE (July 10, 12:12 UTC) : Updates the number of BTC moved by Saxony in the title and the text.

Edited by Parikshit Mishra.

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CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Omkar Godbole is a Co-Managing Editor on CoinDesk's Markets team.


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