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The Reawakening of Old Bitcoin (BTC) Whales: Details

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The Bitcoin network is currently experiencing a remarkable phenomenon: the reawakening of the old BTC whales. These entities that have not moved their holdings for over a decade are now resurfacing and contributing to a significant increase in on-chain activity.

This surge in activity among long-inactive Bitcoin addresses represents a significant trend in the current market cycle and reflects an increase in the movement of old BTC holdings.

According to Julio Moreno, head of research at CryptoQuant, this current cycle has produced more Bitcoin OGs than ever before. The 10-year-old Bitcoin Spending Indicator hit a record 3.7% in March, when Bitcoin was trading at nearly $70,000, Moreno added.

Interestingly, this indicator currently stands at 2.5%, which corresponds to the 30-day annualized cumulative spending of bitcoins older than 10 years. This increase is not far from the record high of 3.7% recorded in March and signals the resurgence of the old Bitcoin whales.

The term “old whales” refers to the early adopters of Bitcoin who mined or bought the cryptocurrency when it was still in its infancy and worth far less than it is today.

As reported this week, an early Bitcoin miner from the Satoshi era moved 2,000 BTC coins that had been mined back in 2010.

The reactivation of these old Bitcoin wallets is not just a curiosity but a significant event that could have a profound impact on the market. The issuance of such old coins is a rarity and when it happens, it is closely watched for any potential impact on market dynamics.

Old Bitcoin miners and whales often act as a source of liquidity and distribution, which is why such actions attract a lot of attention.

The cryptocurrency community and market analysts are closely monitoring this trend. Some view the reactivation of old addresses as a natural development as Bitcoin matures as an asset class. Others are more cautious and view it as a sign of a possible market cooling or preparation for a larger price move.

At the time of writing, BTC was up 2.86% over the past 24 hours to $69,126, continuing its recovery from the May 23 low of $66,259.

About the author

Tomiwabold Olajide

Tomiwabold is a cryptocurrency analyst and experienced technical analyst. He devotes himself extensively to cryptocurrency research, conducts comprehensive price analysis and makes predictions on estimated market trends. Tomiwabold graduated from the University of Lagos.

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