Photo by Bitcoin and Ethereum have been on a wild ride lately, with the German and US governments making strategic moves in the crypto market. The German government has transferred millions of dollars worth of Bitcoin to multiple crypto exchanges, while the US government has moved a significant amount of Ether to an unknown address.
This move has sparked interest in the crypto community, with many wondering what this means for the future of Bitcoin and Ethereum. According to Vijay Pravin, CEO of bitsCrunch, the price of Bitcoin has slumped by 6% since the onset of government transactions.
“I think it is the market waking up to potential downside risk. There’s caution in the air among investors that large-scale disposals by the German and US governments could potentially trigger a more pronounced downturn in Bitcoin’s price. If that happens, we could see a higher selling pressure and increased volatility.”
But despite this volatility, Bitcoin has made a big comeback in 2024, rising from around $16,000 in January to a peak of $73,000 in March. This impressive trajectory has brought about a significant transformation in the image and perception of cryptocurrency.
The arrival of Bitcoin and Ether ETFs has also been a major milestone in the crypto industry. The SEC’s approval of spot Bitcoin and spot Ether exchange-traded funds (ETFs) has paved the way for more mainstream adoption of cryptocurrency.
In addition, major firms such as Sony are entering the crypto industry, with the Japanese conglomerate acquiring Amber Japan, a prominent crypto firm. This move marks Sony’s debut into the cryptocurrency exchange sector.
As the crypto market continues to evolve, it will be interesting to see how governments and major firms continue to shape the industry. Will Bitcoin hit $100,000 this year? Only time will tell.
Cryptocurrency
German government BTC transfers
U.S. government ETH transfers
Sony enters crypto market
