No Need to Panic
Economist Alex Krüger isn’t worried about the recent Bitcoin (BTC) sell-offs from Mt. Gox and the German government. He believes the market can handle it all.
German Government Dumping Bitcoin
Last month, the German government seized 50,000 BTC from Movie2k.to, a now-defunct illegal streaming site. They’ve been selling off some of those coins, but Krüger says the market has already absorbed most of the sell pressure.
Mt. Gox Repayments
Mt. Gox, the once-largest Bitcoin exchange, went bankrupt in 2014 after a hack. They’re now starting to repay customers, which could lead to more selling pressure.
Krüger estimates that about 65,000 BTC will be distributed to individual creditors. He believes that even if 30% of those coins are sold at once, the market can handle it.
Market Can Absorb Sell Pressure
Krüger says the market is strong enough to absorb the combined sell pressure from both Mt. Gox and the German government. He believes the sell-offs will be short-lived and won’t have a major impact on the overall price of Bitcoin.
Don’t Forget: This is just one economist’s opinion. It’s always a good idea to do your own research before making any investment decisions.
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