The German and U.S. governments have made substantial moves in the cryptocurrency market, impacting Bitcoin and Ethereum prices with their recent transactions.
Early Monday saw wallets associated with the German government transferring 1,500 BTC, valued at approximately $94.94 million, across platforms like Bitstamp, Coinbase, and Kraken. This follows similar actions last week, which contributed to a notable dip in Bitcoin’s market value, according to insights from Arkham Intelligence.
Germany stands out as one of the largest state holders of Bitcoin, amassing around $2.8 billion from various seizures, including assets from illicit activities such as a movie piracy website. Recent liquidations by the European nation, totaling over $195 million worth of BTC in a single day last month, exerted downward pressure on Bitcoin’s price, causing a decrease of approximately 3.5%.
Meanwhile, in the United States, government wallets executed a transaction involving 3,375 ETH, valued at $11.75 million, transferring these funds to an undisclosed address. This action follows a significant move last week when 3,940 BTC, valued at around $248 million, was seized from Banmeet Singh, an Indian drug trafficker operating on dark web platforms. Singh’s forfeited assets, marking the largest seizure ever by the U.S. Drug Enforcement Administration (DEA), were transferred to a Coinbase Prime account as part of legal proceedings after his guilty plea earlier this year.
Arkham reports that the U.S. government currently holds more than $13.8 billion in cryptocurrency, primarily Bitcoin, making it the largest state holder globally. Market analysts closely monitor U.S. government activities in the crypto space, given their substantial impact on market dynamics and investor sentiment.
These recent transactions underscore governments’ increasing involvement in managing and utilizing seized cryptocurrency assets, highlighting their influence on the broader digital currency market.
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