Germany’s Saxony Transfers $300 Million Worth of Bitcoin

Bitcoin (BTC) remains stable around $58,500 following a new cryptocurrency push by the German state of Saxony.

According to data tracked by CoinDesk, the leading cryptocurrency by market value fell 1.6% to $58,470 from the $59,450 level reached in the morning hours.

According to Arkham Intelligence, about half an hour before this news went live, the German Federal Criminal Police Office (BKA) moved 5103.5 BTC worth around $300 million to exchanges Kraken and Coinbase, as well as market makers like Cumberland and Flow Traders.

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The government began selling BTC in the second half of June and has since shaken up the crypto market by liquidating 30,997 BTC. BTC has fallen by over 15% in the last four weeks, with prices falling to $53,550 last week. At the time of writing, there are 18,860 BTC in the wallet connected to the BKA.

The steady price action suggests that the market is gaining some relief from the divestiture and potential sale by Mt. Gox creditors.

BRN analyst Valentin Fournier: “The market seems to have stabilized despite the outflows from Mt. Gox and the German government. Spot bitcoin ETFs are recording strong inflows again, suggesting a reversal in the trend. This development is also supported by the RSI, which shows that the low oversold level we highlighted a few days ago is seen as an opportunity by investors.”

“We continue to expect positive news from the US tomorrow. However, we expect the Fed to delay rate cuts until September. Developments following the strong PCE on June 28 could cause the market to react as if inflation is not falling. Therefore, we recommend locking in profits ahead of a potentially volatile weekend.”