Analysis: Concerns over the U.S. Department of Justice selling BTC are exaggerated, and the market has the capacity to absorb it
According to ChainCatcher news, as reported by CoinDesk, concerns about the U.S. Department of Justice potentially liquidating 69,370 Silk Road bitcoins (approximately $6.5 billion) are exaggerated. Analysts point out three key reasons:Although 69,370 bitcoins is a large amount, the government must follow the principle of optimal pricing during liquidation, and it is expected to proceed in an orderly, phased manner. At the same time, the market has long anticipated this possibility, and the related impact has already been partially absorbed.From the perspective of market absorption capacity, since September 2024, the holdings of long-term holders (those holding for more than 155 days) have decreased by over 1 million bitcoins, with current total holdings around 13.1 million. Despite such a large-scale sell-off, the price of bitcoin has risen from $60,000 to over $100,000, indicating strong market demand.The German government completed the sale of approximately 50,000 bitcoins (about $3.5 billion) between June and July 2023, providing an important reference for a liquidation of similar scale. At that time, the market had already bottomed out while the German government still held 25,000 bitcoins, indicating that such a scale of sell-off is not sufficient to dominate market trends.