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The main headwind on Bitcoin price has just disappeared
Alex Dobnya
Bitcoin Bulls Have Reason to Be Optimistic as a German State Finally Finished Selling Its BTC Holdings
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According to cryptocurrency research firm Arkham Intelligence, Saxony, a state in eastern Germany, now has liquidated all of his Bitcoin holdings.
The ongoing Saxony sell-off has been a major bearish obstacle for the top cryptocurrency by market cap since early June. Last week, the top cryptocurrency plunged below the $64,000 level, hitting its lowest price point in about five months.
The German state originally owned 50,000 Bitcoins, which were confiscated earlier this year from the operators of the piracy website Movie2K.
After the confiscation, Germany ranked as one of the top holders of Bitcoin among different governments (behind only the United States, China and the United Kingdom). However, it no longer holds any Bitcoin.
AS reported by U.TodaySaxony’s sell-off was swallowed up by Bitcoin ETF investors who were eager to buy the dip. On Thursday, these products saw another $79 million in inflows. In fact, they saw their best week since May with an impressive $882 million in inflows.
The sell-off has naturally drawn a lot of criticism from members of the Bitcoin community. Joana Cotar, a pro-crypto German MP, has called for a halt to the sell-off, arguing that holding the cryptocurrency would be beneficial to the state.
Despite the apparent end of the Bitcoin sell-off in Saxony, there are also other headwinds such as the Mt. Gox refunds. This means that Bitcoin bulls are not out of the woods yet.
The leading cryptocurrency is currently trading at $57,723, according to CoinGecko data.
About the author
Alex Dobnya
Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader, and journalist with extensive experience covering everything from price analysis to Blockchain disruption. Alex has written over 1,000 stories for U.Today, CryptoComes, and other fintech media. He is particularly interested in regulatory trends around the world that are shaping the future of digital assets, and can be reached at alex.dovbnya@u.today.