Bitcoin (BTC) is currently under slight selling pressure again, while two events could send the market into turmoil. On the one hand, the FTX payouts to creditors and on the other hand, a court decision US Supreme Courtspaving the way for the US government to sell $4.4 billion worth of Bitcoin. In his latest update on CoinCheck TV, crypto expert Furkan Yildirim takes a closer look at both topics and discusses their potential impact on the Bitcoin price and the entire crypto market.
FTX payouts: Hope for new liquidity in the market
The upcoming FTX payouts to creditors could potentially give the crypto market a new boost. In total, there are amounts of around 11 to 16 billion US dollars that are to be distributed in the coming months. However, smaller amounts will be paid out first, with holdings of less than $50,000. These payments are expected to begin in November and will extend into the first and second quarters of next year.
Furkan explains that many of the affected creditors were already crypto investors and therefore some of these funds could likely flow back into the market. This could support the market and provide some recovery, although the exact level of reinvestment remains to be seen.
US government could sell off billions worth of Bitcoin
At the same time brings another News Uncertainty in the market: A verdict of US Supreme Courts allows the US government to sell $4.4 billion worth of Bitcoin. These Bitcoin come from the Silk Road-related seizure and were originally claimed by the Battleborn investment group, which has failed in several instances. Yildirim highlights that selling pressure on the market could be significant, especially if the government wants to divest Bitcoin before the upcoming US elections.
Interestingly, former President Donald Trump had announced that he would use the confiscated Bitcoin as a government reserve if he wins the election. This plan could now be thwarted by the US government’s decision to sell. If the government actually sells the Bitcoin, it would be a significant downside factor for the market.
Bitcoin price and outlook
Bitcoin is currently trading at around $62,300, having briefly risen above $64,000 only to be sold off again. Furkan explains that Bitcoin is now making higher lows in the chart, which is a positive sign. However, he sees the lack of buying interest from the USA, evident in the negative Coinbase premium, as a critical factor. He is also concerned about rising leveraged long positions as they increase the risk of liquidations.
The Bitcoin rate remains heavily dependent on macroeconomic developments in the coming days, particularly US inflation data and decisions surrounding FTX payouts and possible Bitcoin sales by the US government.
For even more insights into the latest developments and analysis around Bitcoin, cryptocurrencies and macro developments, be sure to visit Furkan Yildirim’s YouTube channel Coin Check TV. Don’t miss any important information and always stay up to date!
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