Bitcoin Whale Moves 2,000 BTC Dormant for 14 Years
An unknown individual or entity recently consolidated 2,000 BTC mined in 2010 into a single wallet.
This consolidation, noted by developer mononautical on X, occurred on March 26, involving the transfer of 40 sets of mining rewards, each consisting of 50 BTC, into one wallet.
Bitcoin Miner’s 14-Year Hold Pays Off
Reflecting on the situation, mononautical remarked, “Imagine holding for 14 years as the value rockets from a few hundred dollars to $140 million.” Notably, at the time of mining, the rewards amounted to $600.
Somebody just consolidated 2000 BTC from a bunch of coinbase rewards dating back to 2010.
Imagine hodling for 14 years as the value rockets from a few hundred dollars to $140 million
https://t.co/YsgcxUQHVO
— mononaut (tx/acc) (@mononautical) March 26, 2024
Responding to the revelation, another X user, @Psifour, raised concerns about the possibility of compromised key generation, suggesting either a known pool or a random origin for the rewards.
However, mononautical clarified that the miner remains unidentified, suggesting the transfer may have been a strategic move rather than a security breach. “It’s possible the keys were compromised, but it seems like this went straight to an OTC desk,” mononautical added, citing a previous instance of similar old mining wallet sweeps.
This news follows another significant Bitcoin movement over the weekend. The fifth richest Bitcoin address, which had remained dormant since 2019, suddenly sprung to life. According to blockchain analytics firm Arkham, in 2019, this address was funded with 94,500 BTC worth $6.05 billion. The Bitcoin remained untouched until recently when it was divided and transferred to new addresses.
Bitcoin Faces Sell-Side Liquidity Crisis
Adding to the discourse, CryptoQuant founder and CEO Ki Young Ju pointed out that the consolidation indicates a “sell-side liquidity crisis waking up old Bitcoin.” Ju also suggested that the transaction pattern indicates over-the-counter (OTC) sales of the funds.
Meanwhile, CryptoQuant’s latest “Weekly Crypto Report” outlined an upcoming “sell-side liquidity crisis.” The report attributed the crisis to a surge in Bitcoin demand, mainly fueled by the introduction of spot Bitcoin exchange-traded funds (ETFs) in the U.S. This heightened demand has drastically reduced the available supply for sale.
According to the report, Bitcoin’s liquid inventory has reached its lowest level ever in terms of months of demand, with current supply only sufficient to cover demand growth for twelve months.
It was also highlighted that when considering Bitcoin available strictly on U.S. exchanges, the supply would only be able to meet the demand for half as long, dropping to six months of demand if Bitcoin from exchanges outside the U.S. is excluded. This exclusion is based on the premise that U.S. spot Bitcoin ETFs will solely source Bitcoin from U.S. entities.
The post Bitcoin Whale Moves 2,000 BTC Dormant for 14 Years appeared first on CryptoPotato.
