1,433 BTC dormant for over 10 years has been moved, indicating a bearish signal for Bitcoin.

The movement of a large amount of Bitcoin that has been dormant for more than 10 years has been detected through on-chain data, which could indicate a bearish trend for its price. The movement of these dormant coins may be a sign of selling, as suggested by the “Spent Output Age Bands” (SOAB) indicator, which tracks the movements of different age bands on the blockchain. The 10+ years age band, which includes all coins that haven’t moved from a single address in over 10 years, is the cohort of interest in this context. The SOAB metric shows that around 1,433 BTC has moved across wallets on the network, indicating a surge in the metric.

The long-term holder (LTH) group, which includes all investors that have been holding their coins for more than 155 days, is statistically less likely to sell their coins. However, the movement of coins from an investor who has held them for more than 10+ years suggests that the holder is one of the oldest even among the LTHs. It is possible that the wallet activation today may have come from a user rediscovering a previously lost wallet, as old supply is usually considered lost due to wallet seed phrases becoming inaccessible.

While movements from LTHs are usually a bad sign for the market, as they show even the diamond hands may have lost their belief in Bitcoin, this latest transaction may not reflect the general sentiment due to the special circumstances surrounding it. Nonetheless, the transfer is still a probable sign that the coins are being moved around for selling-related purposes, which could have a bearish impact on the asset’s price. At the time of writing, Bitcoin is trading around $26,400, down 2% in the last week.

We will continue to update Phone&Auto; if you have any questions or suggestions, please contact us!

Share:

Was this article helpful?

93 out of 132 found this helpful

Discover more

Market

Crypto price outlook: Bitcoin, Maker, Shiba Inu

Bitcoin (BTC) soared to over $26,650 while Maker (MKR) achieved a yearly high of nearly $1,470. The price of Shiba Me...

Bitcoin

Bitcoin Price Outlook: Soar or Slump Ahead?

The Bitcoin price is experiencing some fluctuations. Although BTC has recently fallen below the trading range of $29,...

Market

Bitcoin price on Binance falls to $2,700, CZ provides explanation

In the latest Bitcoin news, the price of the leading cryptocurrency by market cap has been steadily increasing on sho...

Market

Bitcoin rebounds 6% to reach 18-month high, AVAX and SOL leading the altcoin rally.

BTC, market, Bitcoin rebounds 6% to reach 18-month high, AVAX and SOL lead the surge of altcoins. LianGuai, SOL from ...

Markets

Bitcoin's $28K rally causes biggest short squeeze this month.

The sudden increase in price has caused approximately $36.6 million worth of short positions to be closed in the last...

Bitcoin

Bitcoin Whales Selling? Possible Indication

According to on-chain data, the Bitcoin exchange whale ratio has experienced a significant increase, indicating a pos...