Bitcoin rose again to $58,000 by the opening of Wall Street on July 9 as the German government transferred more of its Bitcoin holdings.
BTC price remains unchanged despite German government moves
According to data from Cointelegraph Markets Pro and TradingView, the Bitcoin (BTC) price uptrend has peaked, reaching a daily high of $58,102 on Bitstamp.
The exchange was one of several involved in a recent round of transactions to and from a German government-owned wallet. Both the inbound and outbound BTC transactions took place on the same day, the latter of which contained approximately 3,000 BTC at the time of writing.
Another source of controversy has emerged in the markets as of yesterday: Coins belonging to the closed exchange Mt. Gox have also moved on-chain.
Kiyoung Joo, CEO and founder of on-chain analytics platform CryptoQuant, argued in a post on X that “the Bitcoin market is still heavily influenced by psychological operations.”
“Government BTC sales are negligible compared to overall liquidity, and most of Mt. Gox’s BTC holdings were not transferred to bondholders. CT still blames the decline on government sales. Smart money is replacing dumb money. We’re still early.”
Trading firm QCP Capital has identified an increase in “speculative” trading behavior in a recent announcement sent to subscribers of its Telegram channel.
“Despite thin liquidity, BTC and ETH made higher lows this week, with dips being bought aggressively,” he observed.
“The market is very sensitive to supply movements, suggesting speculative selling pressure rather than actual spot demand. This could indicate market overposition for a downside.”
BTC/USD rose 1.5% on the day, which has prompted modest optimism among some market experts.
“Bitcoin is showing early signs of stabilization after the crash,” one of the popular traders and analysts at Rekt Capital told X followers.
Rekt Capital has created a chart showing a downward sloping trend line that needs to break out for a full recovery. It includes Relative Strength Index (RSI) data, which is signaling a bullish divergence with price on the daily timeframe.
“If an upward divergence occurs, it will challenge this downtrend,” he added.
According to another chart, the price has reclaimed the support level around $56,750, which is in line with the previous low recorded in early May.
Bitcoin Analyst Points Out Need for ‘Catalyst’
Keith Allen, co-founder of trading resource Material Indicators, was similarly cautious.
Related: Bitcoin ‘Power Law’ Predicts 300% BTC Price Rise by End of 2025
He said BTC/USD still lacks the momentum to recover levels lost in recent weeks, including the 200-day moving average (MA) at $58,822.
“This new trend-sentiment signal from the Bitcoin daily signal indicates that the price is unlikely to go lower than yesterday’s candle ‘today’,” Material Indicators’ X account explained of one of its own trading tools.
“I think a drop back to $54.3k would be invalid. It’s showing some strength right now, but I think it needs a catalyst or BTC bid liquidity to get back to the 200-day moving average.”
This article does not contain any investment advice or recommendations. All investment and trading moves involve risk, and readers should conduct their own research when making decisions.