The recent operations of the German government’s Bitcoin wallet are relevant to the message’s background. The German government wallet receives Bitcoin for the first two days in a row at the end of business hours. According to some analysts, this is a buyback following a sale.
In reality, though, these unsold Bitcoins are being returned to the German government’s control wallet. It might seem unusual, but such a large institution might not have enough trust in exchanges and prefer self-custody. A total of 3,073 BTC were added back to the wallet yesterday, bringing the Germans’ temporary balance to 27,461, BTC or roughly $1.57 billion.
Another Bitcoin discarding is scheduled for today by the German government. The price of Bitcoin and the mood of the market as a whole have both been significantly impacted by this enormous selling pressure. One interpretation of Saylor’s message would be a commentary on the state of the market and how the actions of this institution affect it. It is also possible that Saylor is mocking the decision to sell such a large amount of BTC on the market in such a brutal fashion.
It is becoming difficult for Bitcoin to keep up its momentum due to the selling operations that the German government is conducting. This activity highlights the power that institutions and major holders have over the cryptocurrency market, which frequently results in volatility and abrupt price swings. Temporary price reductions brought on by large-scale sales can inspire some people to buy while inciting fear in others.
This article was originally published on U.Today
Source: Cryptocurrency - investing.com
