German Authorities Practically Exhaust Bitcoin Treasury, Promoting Over 90% of Seized BTC

After a month-long interval of elevated promoting strain, the German authorities has practically exhausted its Bitcoin treasury, promoting over 90% of its BTC

German authorities are nearing the end of their Bitcoin treasury sell-off, with only 9.9% of the original 50,000 BTC remaining, according to market intelligence firm Arkham. On Thursday, the German police wallet sold 2,375 BTC ($137.87 million) to exchanges including Kraken, Bitstamp, and Coinbase.

An additional 3,250 BTC ($191.02 million) were also sent to exchanges for selling purposes and over-the-counter (OTC) deals, the data showed.

The German authorities also recently transferred 5,000 BTC ($286.44 million) to Movement Merchants, Coinbase, Kraken, Bitstamp, 139Po and bc1qu. In total, they have now moved 10,627 BTC ($615.33 million) to market makers and exchanges on Thursday alone.

With only 4,925 BTC left, Arkham’s data showed that the German authorities now hold 9.9% of the original 50,000 BTC seized from Movie2k in January, now worth just over $284 million at the current BTC price of $57,000.

As reported by our sister site Bitcoinist on Wednesday, Dr. Lennart Ante, co-founder of the German blockchain research lab, stated that the Saxon state government is legally obliged to sell the confiscated bitcoin, despite lawmakers like Joana Cotar urging the country’s legislative chamber to hold on to the seized BTC.

However, Dr. Ante added that the general prosecutor’s office of Saxony is responsible for liquidating the confiscated BTC assets as per “normal procedure.”

Bitcoin Price Analysis

Currently trading above $57,400, the good news is that the BTC price has managed to consolidate above this level for the past few days, signaling some stability in the market ahead of a potential renewed bullish move up to test key resistance levels.

This sharply contrasts last week, when the Bitcoin price saw violent price swings in both directions as selling pressure from the German authorities and uncertainty surrounding the funds from the defunct exchange Mt. Gox flooded the market.

In the short term, the Bitcoin price must contend with the $58,200 resistance, which has proven to be a tough level for the world’s largest cryptocurrency to crack over the past 6 days, failing to breach this level to test the $60,200 resistance overhead.

Ultimately, it remains to be seen when the German authorities will finish selling their bitcoin and deplete their total Bitcoin treasury, and how BTC’s price will react as the daily selling pressure experienced over the past month subsides.

Featured image from DALL-E, Chart from TradingView.com