Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Ancient Bitcoin (BTC) Whales Reawakening: Details

Published 05/25/2024, 06:40 PM
Updated 05/25/2024, 10:15 PM
© Reuters.  Ancient Bitcoin (BTC) Whales Reawakening: Details
BTC/USD
-

U.Today - The Bitcoin network is witnessing a remarkable phenomenon: the reawakening of ancient BTC whales. These entities, which have not moved their holdings for over a decade, are now resurfacing, contributing to a significant spike in on-chain activity.

This surge in activity among long-dormant Bitcoin addresses marks a significant trend in this current market cycle, reflecting an increase in the movement of old BTC holdings.

According to Julio Moreno, the head of research at CryptoQuant, This current cycle has awakened more Bitcoin OG's than ever. The 10+ year-old Bitcoin spending indicator reached a record high of 3.7% in March, when Bitcoin traded near $70,000, Moreno added.

Interestingly, this indicator is currently at 2.5%, which represents the 30-day cumulative spending annualized of Bitcoin with more than 10 years old. This uptick is not far from the record high of 3.7% observed in March, signaling the resurgence of Bitcoin ancient whales.

The term "ancient whales" refers to the earliest adopters of Bitcoin, who mined or purchased the cryptocurrency when it was in its infancy and far less valuable than it is today.

As reported in the week, an early Bitcoin miner from the Satoshi era has moved 2,000 BTC coins mined way back in 2010.

The reactivation of these ancient Bitcoin wallets is not merely a curiosity but a significant event that could have profound implications for the market. The spending of such old coins is a rarity, and when it happens, it is monitored closely for potential impacts on market dynamics.

Old Bitcoin miners and whales often act as a source of liquidity and distribution, hence the attention such moves get.

The cryptocurrency community and market analysts are closely monitoring this trend. Some view the reactivation of old addresses as a natural progression as Bitcoin matures as an asset class. Others are more cautious, considering it a sign of potential market cooling or preparation for a major price move.

At the time of writing, BTC was up 2.86% in the last 24 hours to $69,126, extending its rebound from May 23 lows of $66,259.

This content was originally published on U.Today

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.