Bitcoin Whale Transferred 8000 BTC to Binance after Five Year Hibernation
Date: 2024-06-12 Author: Oliver Abernathy Categories: CRYPTO PAYMENTS
A major cryptocurrency trader known as the Bitcoin whale ended a five-year period of inactivity by transferring 8,000 BTC to the Binance exchange. These assets are valued at $539 million at the time of writing, according to Arkam Intelligence.
History of Translation
The transfer of bitcoins began with the Coinbase cold wallet. Initially, the first batch of cryptocurrency was sent to the address 1ABww19YJHjPi5XYYHedy9hBNzDxpmCSKq, after which the funds were transferred to the Binance deposit account.
“The Coinbase wallet received these 8,000 BTC back in December 2018. Funds were transferred to this address in equal installments of 200 BTC,” the report says.
During the storage of bitcoins in the Coinbase account, their value increased by 1,700%, taking into account the purchase price of the asset at $3,750. This growth significantly increased total assets, now valued at $539 million.
Other Examples of Bitcoin Whale Activation
At the end of May 2024, another large trader, active since the days of Satoshi Nakamoto, transferred 2,000 BTC to one wallet. These bitcoins were obtained 14 years ago as mining rewards and were valued at more than $139 million at the time of transfer.
According to Chainalysis, as of April 2024, almost 1.8 million Bitcoin addresses had remained dormant for more than 10 years. They hold the first cryptocurrency with a total value of about $121 billion. This indicates a significant volume of bitcoins that could potentially be reactivated in the future.
Current Situation on the Bitcoin Market
Amid news about the transfer of large volumes of bitcoins, the cryptocurrency rate dropped by 4.3% over the past week. At the time of writing, Bitcoin is trading at $67,458, according to TradingView data. The market capitalization of the first cryptocurrency is $1.3 trillion.
“The speed of processing transactions on the Bitcoin network has fallen to the level of 2011,” the media previously reported. This raises further questions about the current state of the network and its ability to handle increased transaction volumes.
The return to activity of a major Bitcoin whale after a five-year period of inactivity demonstrates the importance of monitoring the movement of large volumes of cryptocurrencies. This case highlights the importance of cold wallets and storage strategies, as well as the influence of large traders on the market. As the number of such transfers increases, the market can expect further exchange rate fluctuations and changes in trading volumes.
Recall that the speed of processing transactions on the Bitcoin network has recently decreased to 2011 levels, which may have important consequences for the further development of cryptocurrency infrastructure.
