Bitcoin briefly drops below 27K, old joke "US government seizes Bitcoin transfer" resurfaces

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Bitcoin briefly drops below 27K, old joke "US government seizes Bitcoin transfer" resurfaces

During the early hours of May 11th, Bitcoin suddenly experienced a sharp drop within one hour, falling from the $28,000 level to below $27,000. The most widely circulated rumor online was the classic joke in the crypto community: "The U.S. government is selling Bitcoin." However, opinions are divided on whether this is true or not. Online sleuth ZachXBT stated: "I don't see any activity from U.S. government addresses."

US Government to Sell Dark Web Bitcoin!? BTC Falls Below 27K

According to observations, many Twitter Key Opinion Leaders (KOL) have expressed suspicion that the Bitcoin seized by the US government has been moved, based on information provided by the data company Arkham, which had previously caused a "false warning."

For instance, @1kbeetlejuice Beetle posted a message saying, "US government Bitcoin wallet moving," but he quickly realized his mistake, deleted the post, and publicly apologized. He explained that he had mistakenly marked the address while using Arkham's service, leading to the misunderstanding.

Blockchain detective ZachXBT also quickly presented his investigation, stating that based on previous records of US government addresses, the Bitcoin seized from the dark web's Silk Road had not been touched at all.

Arkham Clarifies: Bitcoin's Sharp Drop Has Nothing to Do with Us

Blockchain data company Arkham emphasized that they did not mark the address referred to by @1kbeetlejuice Beetle as belonging to the US government. Users can actively add and remove their custom address labels. The address label posted by @1kbeetlejuice Beetle has no connection to Arkham.

Arkham also displayed the address officially identified as "Silk Road," showing that the assets inside have not been moved: