Bitcoin Price Drops Following U.S. Transfer of $240M Silk Road-Linked BTC to Coinbase
Bitcoin (BTC) experienced a decline towards $60,000 as a wallet linked to the U.S. Government transferred approximately $240 million worth of seized BTC to a Coinbase Prime address, sparking concerns among traders about potential asset sell-offs.
An Arkham Intelligence social media post revealed that 3,940 bitcoin seized from a Silk Road vendor had been moved by the wallet. The post specified that this BTC was originally confiscated from narcotics trafficker Banmeet Singh and was forfeited during a trial in January 2024.
This recent government movement follows a previous seizure of about 50,000 bitcoin related to the Silk Road website in late 2022. On April 2, a significant $2 billion worth of bitcoin was moved, adding pressure to digital markets. In March 2023, the government sold 9,861 coins for $216 million.
In response to this news, bitcoin attempted a minor recovery from its Mt. Gox-related drop earlier in the week but slipped below $61,000. It has since rebounded to $61,100, marking a 1% decrease over the past 24 hours. The broader CoinDesk 20 Index also saw a similar decline, while Ether (ETH) fell by 1.6% following the announcement.
For further insights, readers can explore the article titled “Mt. Gox to Begin Repayments in July; BTC Slides Under $61K.”
Edited by Stephen Alpher.
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