CandleFocus

Silk Road's $6.5B Bitcoin stash poses no short-term risk if sold OTC – CryptoQuant

CryptoQuant, a market analysis firm, believes that the potential sale of $6.5 billion in Bitcoin confiscated from Silk Road by the US government would not have a significant impact on the market if sold through over-the-counter (OTC) desks. The firm's analysis points out that the Silk Road stash represents a relatively small portion of Bitcoin's realized market cap, which has significantly increased over the past year. However, if the Bitcoin stash is sold on the spot market, it could lead to severe price corrections. The analysis also references the German government's sale of 50,000 BTC in 2024, which had an impact on Bitcoin's price. Despite the potential sale, on-chain metrics indicate that Bitcoin's demand remains high and the market is on an upward trajectory as long as capital continues to flow in.

Related News