Another Bitcoin (BTC) address has suddenly woken up from more than a decade of dormancy, further fluttering the broad crypto market.
Bitcoin Address Reactivation Follows Price Dip
Crypto analytics platform, Whale Alert has spotted the reactivation of a Bitcoin address that has been dormant for approximately 11.1 years.
💤 A dormant address containing 20 #BTC (1,141,017 USD) has just been activated after 11.1 years!https://t.co/FfHXd1rpmk
— Whale Alert (@whale_alert) July 5, 2024
The address in question contains 20 BTC which is currently valued at $1.13 million based on the market price of Bitcoin at the time of this writing. Upon its reactivation, the BTC address has transferred its holdings to an unknown wallet address.
It is worth acknowledging that this kind of wallet activities have become rampant these past few days. All of a sudden, wallets that were dormant for many years begin to show signs of activity. Importantly, their reactivation coincide with the period that BTC price is receding.
From an all-time-high (ATH) of over $73,000 in mid-March, Bitcoin gradually dropped until it found support at $65,000. The firstborn digital currency hovered around this level for a few weeks, hinged on the flows from spot Bitcoin ETFs that was approved by the United States Securities and Exchange Commission (SEC) in January. However, as the crypto ETF saw more outflows compared to inflows, Bitcoin saw its value plummet drastically.
At the time of this writing, the coin was more than 25% lower than the ATH it registered in March. CoinMarketCap data shows that the coin is currently trading at $56,693.72 with a 2.87% drop in the last 24 hours. Some experts speculates that Bitcoin may experience further dip, especially after it went below 200-day Simple Moving Average (SMA).
However, it is not yet clear how much further down the coin will go.
Multiple BTC Dump Haunt Crypto Market
On Wednesday, Whale Alert also noted the reactivation of a Bitcoin address containing 43 Bitcoin but had laid dormant for more than 10 years. This was after two dormant Bitcoin whale addresses with the markers “16vRqA” and “1DUJuH” reportedly came alive. Both wallets held 500 BTC each and became dormant within a 24 hour interval of each other.
These formerly dormant BTC wallets share a similarity with the German government, the U.S. government and Mt.Gox. At the moment, all these entities are dumping Bitcoin into the market, thereby contributing to selling pressure. It is not yet clear how the market would survive the Bitcoin dump.
Read More: Binance’s Illegal Operations Highlighted in Court by Central Bank
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
