Did the US government sell 10,000 Bitcoin?

On the evening of yesterday, May 10, news broke on crypto Twitter that the U.S. government had sold 9,800 bitcoins for $277 million.

As a result, Bitcoin saw a big drop from $28,200 to just under $27,000. Meanwhile, it has stabilized at $27,500. Much of the altcoins stormed along with the crypto currency. Ethereum briefly traded below $1,800.

However, as analysis firms Arkham Intel and CryptoQuant report, there were no outflows at the corresponding addresses. Also, according to Glassnode, the U.S. government's Bitcoin balance sheet did not change. A similar sell-off had already occurred in late April. Then, too, rumors of the U.S. government selling Bitcoin were the trigger.

Bitcoin coins from the U.S. government

The coins originally came from the Darknet marketplace Silk Road. Last year, U.S. authorities announced they were seizing cryptocurrencies. With such seizures, the U.S. government has now become one of the largest Bitcoin whales ever. It reportedly owns about 205,000 BTC - about 1 percent of the total supply.