It turned out that there has been a huge increase in spending by Bitcoin whales, who have been active for about 7 to 10 years. Upon closer examination of previous movements bitcoin The movements of such dormant whales increase dramatically when the price is in an unprotected area or drops to unexpected levels.
7y ~ 10y old Bitcoin on the move🤔
” It is definitely not a bullish sign, but..”
by @JA_MaartunRead More👇https://t.co/Wzbt26LUbS pic.twitter.com/N4DVCHCiEC
— CryptoQuant.com (@cryptoquant_com) August 29, 2022
Cryptocurrency With the panic in the market, long-term investors may also join the ranks of the sellers and choose to reduce their holdings to avoid further losses. Often such a trend is one of the first signs of capitulation among investors.
If history repeats itself, we may see a reversal in the cryptocurrency market in the near future.
Koinfinans.com As we reported, according to the block data, 5,000 Bitcoins were transferred for 10 years in transactions where these movements occurred. Despite the importance of the transaction, we can say that it is a relatively small transfer for such an old wallet.
Previously, similar wallets had swelled up to 100,000 BTC in a short time, putting enormous pressure on the market. But even if the total was larger, there would be no reason to panic as the transfer could be part of the redistribution of funds.
In times of high volatility, investors tend to divide their holdings between different wallets to manage their wealth more effectively. But even if these funds are transferred for sale, such a large amount of coins will most likely pass through an OTC trading desk rather than being tossed into the market.
You can follow the current price action here.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.