Bitcoin Falls After U.S. Sends $240M Worth of Silk Road-Related BTC to Coinbase

Bitcoin {{BTC}} fell to $60,000 on Wednesday after a wallet tagged to the U.S. Government moved nearly $240 million worth of seized BTC to a Coinbase Prime address, sparking concerns among investors that the digital assets will likely be sold off.

According to a social media post by Arkham Intelligence, the wallet moved approximately 3,940 Bitcoin, which was initially seized from a Silk Road merchant. “This BTC was originally seized from narcotics trafficker Banmeet Singh and was forfeited at trial in January 2024,” the post said.

Update: US Government Sent $240 Million in BTC to Coinbase Prime

The US Government recently moved 3,940 BTC ($240 million) to Coinbase Prime.

This BTC was initially seized from narcotics trafficker Banmeet Singh and was forfeited at trial in January 2024.

Transaction: https://t.co/hZ1CwqWCmF pic.twitter.com/9t6k8Wdizq

— Arkham (@ArkhamIntel) June 26, 2024

The latest move by the government, which seized around 50,000 Bitcoins related to the Silk Road website in late 2022, was $2 billion worth of Bitcoins on April 2, which also put pressure on digital markets at the time. The last sale approved by the government was in March 2023, when 9,861 coins were raised for $216 million.

Earlier this week Mt. Bitcoin, which attempted a modest bounce after its fall regarding Gox, fell below $ 61,000 with the arrival of the news. It has since fallen 1% in the last 24 hours to $61,100; The broader CoinDesk 20 Index also fell by the same amount. Ether {{EHT}} also lost ground on the news, falling 1.6% on the day.

Read more: Mt. Gox to Start Refunds in July; BTC Dropped Below $61 Thousand