German Government Moves $52 Million In Bitcoin, BTC Struggles

The German Government (BKA) has moved $52 million worth of Bitcoin, once again raising eyebrows in the crypto community.

According to Arkham Intelligence data, on July 2, the wallet transferred 832.7 BTC across four transactions, distributing funds to various exchanges, including Coinbase, Bitstamp, and Kraken.

Market Impact and Falling Wedge

This major move has potentially contributed to Bitcoin’s recent price volatility. After surging to $63,777 on July 1, BTC’s price retreated to around $62,500 following the German government’s movements.

The BKA-labeled wallet, which still holds over 43,850 BTC worth approximately $2.75 billion, could pose further selling pressure on the market.

Despite the downward pressure, some analysts are spotting a potentially bullish pattern. Crypto analyst MilkyBull Crypto has identified a falling wedge pattern with hidden bullish divergence, suggesting a possible upward movement.

Another analyst, Captain Faibik, sees Bitcoin on the verge of breaking out of a descending, broadening wedge, which could potentially push the price toward $70,000.

The recent price action has established major support at the $62,000 to $63,000 mark. However, a drop below this level could trigger substantial liquidations and a potential price drop below $60,000, which we witnessed after the Mt. Gox news.

The combination of large-scale selling from government-held wallets and emerging technical patterns creates an intriguing scenario for Bitcoin’s short-term price action.

A detailed look at Bitcoin’s price shows that it is hovering around $60,000 to $63,000, with $63,000 acting as a major resistance. Considering this, BTC’s next move could depend on its ability to break past this level.

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Also Read: Germany moves more seized Bitcoin – Will BTC hold above $60K

Vignesh Karunanidhi

Vignesh Karunanidhi is a crypto journalist with a knack for making complex financial topics accessible and entertaining. Through his engaging writing style and strong social media presence, he have built a dedicated community of crypto enthusiasts eager to stay informed about the latest market trends and innovations. Additionally, Vignesh offers valuable perspectives on the factors driving crypto prices.

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