Urooj NazirEarlier today, the Bhutanese government sold 406 Bitcoins for $40 million, as bulls try to break above $100,000 to reach new all-time highs.
As the price of Bitcoin tries to reach new all-time highs, the Royal Government of Bhutan sold 406 Bitcoins from its treasury, totaling $40 million. In the midst of the tremendous Bitcoin price surge over the past two months, particularly following Donald Trump’s victory, the Butan government has been selling off its holding on occasion.
The government of Bhutan sells 406 bitcoins in its holdings
The Royal Government of Bhutan sent 406 BTC, or almost $40 million, to QCPCapital, according to Arkham Intelligence’s on-chain data. Many people have speculated that the transfer is a selling move, sparking extensive discussions.
According to the data, Bhutan is currently the fourth-largest government holder of Bitcoin globally, with 11,791 BTC in its treasury. As of right now, its Bitcoin holdings are still worth about $1.164 billion. The government of Bhutan obtains the majority of its Bitcoin from hydro-powered mining activities, making it a notable destination for miners who mine Bitcoin.
The Royal Government of Bhutan has sold 1,696 Bitcoin, worth around $139 million, at an average price of $81,999 since the market spike in late October. They used QCP Capital and Binance to carry out the deals.
Where Will the Price of Bitcoin Go Next?
The development coincides with a sell-off by long-term holders, which has caused the price of Bitcoin to struggle to break beyond the $100,000 mark. With a market valuation of $1,943 trillion, the price of Bitcoin was down 1.6% at $98.190 at the time of writing.
According to data from Deribit, 139,960 Bitcoin options contracts will expire on December 27, 2024, based on an analysis of open interest (OI). Although a squeeze upward might happen if spot prices increase, QCP says they are less likely to anticipate this. A substantial supply of upward gamma was indicated by the firm’s observation of profit-taking on long BTC-100k-C positions, with some traders rolling their positions to March (130k-150k).
Analysts are optimistic for 2025 even though the price of Bitcoin is struggling to break beyond the $100K mark in the near future. By the end of 2025, Standard Chartered has already forecast that Bitcoin will hit $200K. Higher rallies can also be fuelled by institutional purchases by MicroStrategy and inflows into Bitcoin ETFs, among other things. Furthermore, according to recent rumors, tech behemoths like Microsoft and Amazon plan to construct their Bitcoin treasury in the upcoming year.
As the focus shifts to the impending US Consumer Price Index (CPI) inflation data, the cryptocurrency market enters a crucial week. Investors will also be watching the US Producer Price Index (PPI) data release very carefully.
