A cryptocurrency wallet labeled by the “German Government (BKA)” has recently sold another $52 million worth of Bitcoin, raising suspicions that the government might be offloading its significant BTC holdings.
On July 2, the wallet linked to the German government moved 832.7 Bitcoin in four separate transactions. According to Arkham Intelligence data, 100 BTC was sent to Coinbase, 150 BTC to Bitstamp, and 32.74 BTC to Kraken.
A significant portion, 550 BTC worth over $32 million, was transferred to the wallet “139Po.”
This wallet, whose owner remains unidentified, has previously received funds from the German government, including 500 BTC on June 25 and 800 BTC on June 20.
Monitoring the selling patterns of entities holding large amounts of Bitcoin can offer investors critical insights into the cryptocurrency’s price movements, as substantial sell orders can exert downward pressure on prices.
The BKA-labeled wallet, holding over 43,850 BTC valued at more than $2.75 billion, has the potential to impact Bitcoin’s price due to the threat of further selling pressure.
Since the beginning of June, Bitcoin’s price has been on a decline, dropping over 7.3% in the past month.
BTC found a local bottom above $58,450 on June 24 before recovering to above $62,000, as per Bitstamp data, cited by Los Angeles Oracle.
Bitcoin has established strong support at the $61,500 level.
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However, a drop below this level could trigger the liquidation of over $1 billion in cumulative leveraged long positions across all exchanges, according to Coinglass data.
Apart from the largest transfer of $32 million, the rest of the Bitcoin was moved to centralized exchanges, suggesting that the German government may be planning to sell its Bitcoin.
Cointelegraph has reached out to Germany’s Federal Criminal Police Office (BKA) for comments.
The German government-labeled wallet first drew attention on June 19 when it executed a 6,500 BTC transfer worth over $425 million.
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 pirate movie website operator, Movie2k.
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