The leading cryptocurrency Bitcoin has experienced an unstoppable rise in recent days and exceeded $ 52,000 after a long time.
At this point, while investors expect further rises from BTC, there are two major sales threats that can negatively affect the BTC price in the short term.
It was stated that recent sales threats include Genesis' sale of 35 million GBTC shares worth $ 1.3 billion and the sale of Bitcoins seized by the US government from Silk Road.
“Bitcoin price has been on the rise for the last 7 days and finally broke the $52,000 barrier again after 2 years!
But there are two major threats to the short-term BTC price. Can Bitcoin overcome this selling pressure threat?
Threat #1: Court approves Genesis to sell 35 million Grayscale Bitcoin Trust shares (GBTC) worth ~$1.3 billion on February 15, 2024.
A similar incident occurred in FTX. Note that FTX also once sold over $1 billion worth of GBTC stock, causing the price to drop from $49,000 to $39,000 in January.
Threat 2: The US Government notified to sell 2,875 BTC (worth ~$150.6 million) seized from Silk Road on January 25, 2024.
Currently, the US Government remains one of the largest holders of BTC, with approximately 208 thousand BTC (~$10.9 billion).
-It was claimed that they sold 8.2 thousand BTC (worth $248 million) through Coinbase during the last pump in July, and this news caused the price to drop from $30.8 thousand to $30.2 thousand.”
While Genesis and the US government's potential sale of Bitcoin spark speculation in the market, BTC and the cryptocurrency market are showing resilience.
*This is not investment advice.