Bitcoin Whale Moves $1.67B to Exchange After 14 Years of Dormancy

Recent movements of a 14-year-long dormant whale, potentially dating back to the Satoshi era, have ignited discussions and anxieties within the cryptocurrency market.

Galaxy Digital deposited a staggering 14,273 BTC, valued at approximately $1.67 billion, across various exchanges over the past 12 hours.

Notably, they transferred 5,690 BTC within a single hour, intensifying concerns about a potential market correction, especially during a period typically characterized by lower liquidity.

Dormant Whale Sparks Sell-off Concerns

This activity follows earlier transactions on July 15 and 18, where a whale initially moved 40,000 BTC each day, totaling $4.6 billion, to Galaxy Digital.

Moreover, blockchain intelligence platform Lookonchain reports that Galaxy Digital has subsequently transferred over 10,000 BTC, worth approximately $1.18 billion, to major cryptocurrency exchanges, including Binance, Bybit, Bitstamp, Coinbase, and OKX. The transactions originate from an entity holding a substantial 80,009 BTC, valued at $9.68 billion.

The scale of these transfers, coupled with impending regulatory changes such as the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, has fueled speculation about a possible Bitcoin price correction. Jacob King, CEO of WhaleWire, posited that such events could potentially destabilize the Bitcoin market, alleging artificial capital supports it.

Similarly, on July 24th, CoinTab also reported that a Bitcoin wallet, unused for over 14 years, had suddenly become active, drawing market attention. Someone had left the address untouched for precisely 14 years and five months.

Notably, the whale received the Bitcoins in 2011 when they were worth $1,453, with each coin costing about $0.37. However, because Bitcoin’s price has increased significantly, the Bitcoins in the wallet are now worth approximately $468 million.

Analysts’ Reactions to Whale’s Moves

Onchain analyst EmberCN suggests that approximately 12,000 BTC, valued at $1.38 billion, remain to be sold by the whale. EmberCN believes the whale is utilizing a combination of over-the-counter (OTC) transactions and secondary market sales to distribute the assets. He anticipates that the market should be able to absorb the remaining coins without significant disruption, given the current liquidity levels.

Ki Young Ju, founder and CEO of CryptoQuant, suggests that these whale transfers indicate a departure from traditional Bitcoin cycle theories. He argues that, unlike previous cycles where whales sold to retail investors, this time, older whales are selling to newer, long-term whales, highlighting the growing significance of institutional adoption, stating:

“Institutional adoption is bigger than we thought. Trading feels pointless. Holders now outnumber traders.”

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