Bitcoin Sells Fears As US Moves $240M worth of Bitcoins to Coinbase Addresses
After a trial in January 2024, the US government seized 3,940 bitcoins (worth $240 million) from a Silk Road supplier. A wallet tagged to the US government moved all of its bitcoins to a Coinbase account, sparking fears of a sell-off.
The 3,940 Bitcoin seized from Silk Road drug trafficker Banmeet Singh in January was recently transferred to a Coinbase Prime Wallet address, raising concerns that it could be sold.
The last time the US government moved its holdings of Bitcoin to a currency address was in 2018. In 2022, he downloaded $216 million worth of inherited Silk Road bitcoins. At the time, the sell-off put significant selling pressure on the price of Bitcoin and the broader cryptocurrency market, and traders are concerned that the same trend could happen again.
The crypto market has been down recently due to plans to pay off creditors like Mt Gox and the general situation.
After the news broke, Bitcoin fell below the $61k level but has since risen to $61,400.
