Recent days have witnessed a surge in whale activity, particularly in relation to Bitcoin (BTC) addresses. These whale wallets, which had long remained dormant, have suddenly sprung into action, causing significant concern in the market as it raises the possibility of a selling frenzy.
One particular move by a tracked whale, monitored by Whale Alert, has caught the attention of many. A wallet that had been inactive for over a decade suddenly became active again, sparking apprehension. This wallet was known to hold 43 Bitcoins, which is equivalent to approximately $2.5 million based on the current price of BTC. At the beginning of the week, BTC had surpassed the $63,000 mark but has since experienced a 3.74% drop in the last 24 hours, now trading at around $60,000.
In March 2024, some data emerged that had a significant impact on BTC. The increase in entries for spot Bitcoin ETFs propelled the price of BTC to an all-time high (ATH) of over $73,000. However, the subsequent decline was equally sharp. BTC’s price gradually retreated after the drop and exhibited volatile movements. The biggest blow came after the recent FED interest rate decision, which resulted in BTC’s price plummeting to $58,500.
Around the same time, another whale also became active. A Bitcoin address that had been dormant for over five years reappeared at the beginning of June. This address, upon becoming active, sent 8,000 BTC to Binance exchange in six separate transactions, valued at $535 million at the time. Such transactions are well-known for creating significant selling pressures.
As of now, Bitcoin appears to have slightly stabilized its price drop. While BTC has seen a 3% decline in the last 24 hours, it continues to hold above the $60,000 threshold. Its market cap has fallen to $1.188 billion during this period, while its trading volume has surged by over 40%, surpassing $29 billion. This increase in trading volume may be interpreted as investors selling off in order to mitigate their emerging losses.
Please note that the information provided in this article does not constitute investment advice. Investors should be aware of the high volatility and risks associated with cryptocurrencies, and should conduct their own research.