Bitcoin: China sold BTC worth $100K in January, claims Peter Schiff – Here’s why

• U.S. Bitcoin adoption hypothesis rises, however Bloomberg estimates solely a 30% probability in 2025.
• Reviews counsel China could have secretly bought $20 billion in seized Bitcoin holdings.

Bitcoin [BTC]’s dominance in 2025 has surged, fueled by President Donald Trump’s election victory and rising hypothesis about U.S. authorities adoption.

Reviews counsel that Washington could contemplate including Bitcoin to its strategic reserves, although Bloomberg estimates solely a 30% probability of such a transfer this yr.

However, the thought has sparked intense debate, with Senator Cynthia Lummis claiming {that a} U.S. Bitcoin acquisition may provoke geopolitical competitors, significantly with China.

Peter Schiff’s daring claims

Nevertheless, the crypto group was left puzzled when longtime Bitcoin critic Peter Schiff responded to the X (previously Twitter) publish and said, 

“Really, it’s possible the Chinese language authorities already bought that Bitcoin in January, above $100k. What makes you assume they nonetheless personal it.” 

For these unaware, China’s Bitcoin holdings have come beneath scrutiny following stories that the federal government could have offloaded almost $20 billion value of BTC.

In accordance with CryptoQuant CEO Ki Younger Ju, these belongings have been initially seized from the 2019 PlusToken Ponzi scheme, which defrauded traders of billions.

Ju means that roughly 194,000 BTC was step by step liquidated by way of exchanges like Huobi.

Whereas Chinese language authorities beforehand claimed the confiscated crypto was transferred to the nationwide treasury, they by no means clarified whether or not it was bought or retained, fueling hypothesis concerning the scale of the liquidation and its influence in the marketplace.

Referring to this, Schiff additional added, 

“In Jan. @CynthiaMLummis mentioned that she thought China would get into the equal of an arms race with the U.S. over which nation may purchase probably the most Bitcoin. I doubt it, particularly if China was sensible sufficient to have bought all of its Bitcoin throughout that month.”

World powers and their stance on Bitcoin

Regardless of Bitcoin’s rising prominence in international finance, main economies hesitate to include it into their reserves.

Bitcoin Treasuries data reveals that China holds the second-largest authorities Bitcoin stash, trailing solely the U.S.

Nevertheless, Japan and South Korea stay skeptical, exhibiting little curiosity in diversifying their reserves with Bitcoin.

In the meantime, Bitcoin struggles to remain above $90K, just lately dropping 0.45% to $84,333.20 previously 24 hours, in line with CoinMarketCap.

This reveals that short-term Bitcoin holders face mounting unrealized losses, marking a pivotal second available in the market cycle.

Historic tendencies point out these phases act as non permanent cooldowns slightly than long-term reversals.

Whereas the stress builds, the correction has but to succeed in an excessive stage.

Subsequently, if Bitcoin holds key psychological help and macroeconomic situations stay favorable, this downturn may function a reset earlier than the subsequent bull run.