Germany's Bitcoin selling is almost done. They've sold most of their seized Bitcoin and now have less than 10% of the initial stash left.
The Fear and Greed Index suggests investors are fearful, which historically means that now may be the time to be greedy.
Big money investors are also accumulating, indicating that they believe the current price is a good entry point.
Through it all, Bitcoin is still down from highs but has managed to avoid a freefall.
Despite the recent crash, there are signs things are looking up for Bitcoin.
The best part about the crypto market, sometimes, is the time factor.
Regardless of how bad things are, the sun always shines again eventually—and as it stands, several suns are shining this week.
Here are three of the biggest and most bullish things to know about Bitcoin today: the German government's selling, whale patterns, and an indicator warning investors that it might be time to jump in again.
The German government initially had around 49,857 Bitcoins in its reserves.
These Bitcoins were seized from the operators of a movie piracy website back in January and have been sitting in a wallet ever since.
However, three weeks ago, the German government began selling hundreds of millions of dollars worth of Bitcoin, contributing to the severe crash that now has Bitcoin miles below the $70,000 mark, with a current price of around $57,000 at the time of writing.
This week, according to insights from Arkham Intelligence, the storm appears to be passing. The German government's Bitcoin stash now sits at around 4925 BTC ( worth $282 million), a mere 18% of the original 49,857 coins.
The stash was reduced by this much after its most recent 5000 BTC ($286 million) dump to exchanges like Coinbase, Kraken, Bitstamp, 139Po and bc1qu.
As of 12 July alone, Germany transferred a staggering 10627 BTC (worth $615.33 million) to exchanges in one of its most significant sell-offs to date.
This means that the German government still has enough potential to do damage to Bitcoin’s price, but not enough influence to cause a full blown crash on its own.
Bitcoin is becoming free!
Whether due to the German sell-off, the ongoing $8 billion Mt. Gox liquidations or other factors, one crucial Bitcoin metric has crashed heavily.
Surprisingly, this is a good thing.
This metric, known as the "Fear and Greed" index, is one of the most important sentiment analytics tools.
The Fear and Greed index now shows an “extreme fear” reading for the first time since January this year.
The Fear and Greed index readings typically indicate that it is time to buy when the market is fearful and to sell when the market is greedy.
Keep in mind that the initial "extreme fear" reading in January came before the initial takeoff that saved Bitcoin from the post-FTX lows of around $17,000.
Bitcoin’s price history
Source: TradingView
In more bullish news, the whales seem to be undaunted by Germany, Mt Gox or Bitcoin’s current price.
According to data from Glassnode, highlighted by analyst Ali, there is now a massive Accumulation Trend Score of 0.444, which means that the whales are taking the opportunity of Bitcoin's current blues to add to their holdings.
This trend mirrors data from October 2023, when Bitcoin's price rose from around $25,000 to $49,000.
CryptoQuant data even shows another spike in Bitcoin transfers to accumulation addresses after Bitcoin's dip below $54,000 on 10 June.
This shows that the whales are choosing to stack up Bitcoin instead of liquidating their holdings, which is ultimately a good thing for the general market going forward.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information but will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.