On-chain data shows a dormant Bitcoin whale has roused after a silence of nearly seven years, shifting 2,043 BTC on the blockchain.
A Dormant Bitcoin Whale Has Just Made A Notable TransactionCoins are divided into these “age bands” based on how long they have been sitting dormant on the blockchain for. In the context of the current topic, the band of interest is the 5 to 7 years one, covering tokens that haven’t been involved in a transaction since between five and seven years ago.
Below is the chart shared by Maartunn that shows the trend in the Spent Output Age Bands for this cohort.
As is visible in the graph, the Bitcoin Spent Output Age Bands has just registered a huge spike for the group, indicating coins falling in this age range have just broken their dormancy. In total, the move involved 2,043 BTC, worth $140.8 million at the current exchange rate.
According to the analyst, the whale involved in the transaction purchased these tokens on February 19th, 2019, implying that the age of the tokens was on the higher end of the range, being nearly seven years dormant before the transaction took place. “This unknown entity once held 39,000 BTC, originally received from Cumberland (OTC Trading Desk),” noted Maartunn.
As for what could be the reason behind the whale choosing to break their silence now, the answer is uncertain. It could be that the recent bearish price action was strong enough to shake even this diamond hand into selling, or the move could simply just be for a mundane purpose like a change of wallets.
As displayed in the above chart, the 30-day capital netflow into Bitcoin has plummeted into the negative zone recently, suggesting demand from new investors isn’t enough to absorb the selling. “This behavior is consistent with early bear market conditions: contracting liquidity and narrowing participation,” noted the analyst. Currently, the 30-day cumulative capital netflow is sitting at a value of -$2.6 billion for the cryptocurrency.
BTC PriceBitcoin has taken to sideways movement during the last few days as its price is still trading around $68,900.
