In a significant move amidst volatile market conditions, World Liberty Finance, an entity connected to former President Donald Trump, has executed the sale of 173 Wrapped Bitcoin (WBTC) for a total of $11.75 million in USD Coin (USDC). This transaction occurred on February 5, coinciding with a marked decline in Bitcoin”s price from the mid-$70,000s to the low $60,000s.
The initial sales were characterized by rapid execution, with 40 WBTC sold for approximately $2.761 million, followed shortly by 33 WBTC for around $2.276 million. Both trades were completed within a minute, indicating a clear urgency rather than typical rebalancing activity. Subsequently, a larger batch of 100 WBTC was sold for about $6.711 million, coinciding with a sharp downward movement in Bitcoin”s price.
The timing and structure of these transactions highlight a defensive risk management approach, as moving from WBTC to USDC indicates a preference for liquidity amid market turbulence. As Bitcoin briefly dipped into the low $60,000s, the market displayed signs of strain, triggering stop-loss orders and prompting weaker traders to exit their positions.
However, Bitcoin”s price demonstrated resilience, quickly recovering to $65,000 and eventually nearing $70,000. This rapid rebound suggests that the market absorbed the sell pressure effectively, reflecting strong buying interest despite the initial bearish momentum created by the WBTC sales.
The overall volume of $11.75 million, while notable, does not represent a catastrophic shift in Bitcoin”s liquidity. Instead, it serves as a tactical adjustment by World Liberty Finance rather than a complete withdrawal from the market. The “Trump-linked” association of the sales has drawn additional attention, amplifying sentiment around the transaction.
Market analysts noted that the speed and size of these trades allowed other participants to identify potential liquidity points, creating opportunities for buyers. In conclusion, the actions taken by World Liberty Finance underscore the interactions between large holders and market depth, demonstrating how high-profile players navigate risk while supporting market stability.
