(27 June 2024,08:54 AM IST):
In recent market news, the price of Bitcoin has been experiencing a bearish trend, with significant fluctuations. At the time of writing, Bitcoin’s price hit a low of $58,456 within the last 24 hours and is currently trading at $60,945.
On June 26, 2024, the United States government transferred 3,940 Bitcoin to a Coinbase Prime wallet, as revealed by on-chain data from Arkham Intelligence. This transaction occurred at 17:00:41 UTC and involved Bitcoin seized from convicted drug trafficker Banmeet Singh earlier this year.
The Case of Banmeet Singh
Banmeet Singh was arrested in 2019 by British authorities in London on drug distribution charges. He was extradited to the United States in 2023. According to the U.S. Department of Justice, Singh operated a narcotics smuggling network from 2012 to 2017, with distributors across Maryland, New York, North Dakota, Washington state, Ohio, North Carolina, and Florida.
As part of his sentencing, Singh was ordered to surrender over 8,100 Bitcoin to U.S. authorities, which was valued at approximately $150 million at the time. The U.S. Drug Enforcement Agency (DEA) described this as the largest cryptocurrency seizure they had ever conducted. In April 2024, Singh was sentenced to five years in prison but was credited for time served and has reportedly been released. Following his release, Singh planned to return to his native India, according to The Columbus Dispatch.
Market Concerns
The recent transfer of Bitcoin by the U.S. government has added to market participants’ fears about the impact of government sell-offs on Bitcoin prices. These concerns have been heightened by reports of the German government selling off its Bitcoin holdings, worth roughly $2.76 billion, as reported by Cointelegraph.
The cryptocurrency market is closely monitoring these developments, as government actions can significantly influence Bitcoin prices and overall market stability.