The US Supreme Court ruled that 69,370 Bitcoins worth approximately $4.38 billion were seized by the government from the Silk Road dark web market. 
$62,401He refused to examine the case regarding the ownership of .
Background of the Case
Battle Born Investments claimed that it purchased the cryptocurrencies through the bankruptcy estate. However, a district court in 2022 and an appeals court in 2023 rejected these claims. A San Francisco appellate judge dismissed the case, stating that Battle Born had no valid claim to Bitcoins.
This decision ensures that lower court orders remain in effect and increases the likelihood that the U.S. government will successfully pursue civil forfeiture. The government maintains approximately $2 billion worth of BTC through Coinbase Prime in connection with the Silk Road case.
Effects on the Market
The government selling its Bitcoin holdings could create sudden selling pressure in the crypto market, causing fluctuations in prices. Historically, large Bitcoin sales by governments have caused instability in the crypto market, for example, sales by the German government in mid-2024 dropped the BTC price below $60,000.
Bitcoin opened with an 8 percent correction in October. However, the coin has entered an upward trend again in the last week and is currently trading at around $62,305.
The US government is preparing to launch $4.33 billion worth of Bitcoin sales. This sale can have a significant impact on the market and has been seen to cause significant fluctuations in prices following similar sales in the past.
Republican presidential candidate Donald Trump proposed creating a Bitcoin strategic reserve if he wins the election. This proposal shows the government’s approach to Bitcoin management.
The government’s massive sell-off in the Bitcoin market is expected to cause volatility in the future as well. Investors should determine their strategies by taking into account how such transactions will affect market balances.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
