Bitcoin Investors Ignore Silk Road Selling as BTC Price Rises to $66,500

The bitcoin price has recovered above $66,000 today after a major correction in recent days. The fact that the US government is mobilizing $2 billion in BTC has not deterred investors, Cointelegraph reports.

Bitcoin price recovery

On Monday it was reported that the US government had set 30,000 bitcoins in motion. This amounts to 2.1 billion dollars worth of bitcoin. The government moved the seized bitcoins and then sold 2,000 bitcoins. It led to unrest in the market, but traders soon called for calm.

“In every market we have bullish and bearish stories,” writes Dutch analyst and trader Michaël van de Poppe, founder and CEO of trading firm MNTrading, on X. He is pleased that the government is bringing these bitcoins back to the market.

Others also qualify the size of the transaction. For example, they refer to net inflows into US spot Bitcoin exchange-traded funds (ETFs). Providers must purchase bitcoins in order to sell more shares of their funds. On April 2, the meter showed a net positive of more than 40 million dollars. Also on March 28, there was a net inflow of $183 million, which together eclipsed the sales of the US Silk Road coins. See the figures from the British analysis company Farside below.

This analyst also sees that demand for ETFs is increasing significantly again, which is a favorable signal.

Are spot buyers keeping momentum?

In its latest market update, trading collective Skew hoped spot buyers would maintain the momentum. “Nice sweep off the lows & good buyback response. Now a follow-up of buyers is needed,” he tells X followers about BTC/USD on the four-hour timeframe.

Even more optimistic was fellow trader Jelle, who emphasized that the bulls have already overcome the main long-term resistance zones. He anticipates higher prices in the coming weeks until the halving, probably on April 20.

The aforementioned Van de Poppe says in another tweet: “Corrections are normal; they happen. You will see them happening in every market condition, regardless of any story.” He sees buying dips as an opportunity.