Bitcoin whales resurfacing

Crypto Traders be carefull!

The probability of some more dramatic price swings in the near future is high due to a resurgence of activity by anonymous owners of long-dormant BTC accounts.

It’s alive….

It all started in October 2018. According to Flipside Crypto (analytics), a big number of accounts who didn’t touch their BTC for between 6-30 months began moving their coins. This trend continued in the beginning of 2019, with digital wallets which were active in the last 30 days now holding about 60% of the circulating supply!

“It’s definitely a big shift,” Eric Stone, head of data science at Flipside, said in an interview. “There’s more potential than usual for price swings.”

Inactive Bitcoin Accounts Plummet

Addresses that have been inactive for more than 2-1/2 years.

 

According Stone, the active BTC supply has risen about 40% since mid 2018. Similar wallet activity preceded big swings in BTC price in 2015 and 2017. 2 years ago that revival was the beginning of the wave that took the coin’s price to a ATH of almost $20,000. Since then BTC slumped to around $3,600.

What makes this crypto market moving?

It’s all about the concentration of ownership, which are the so called whales. 85% of all BTC are controlled by about 1,000 addresses and include a lot of early investors who remained rather inactive during the exuberant price wave.

“We’ve definitely seen that many long-time holders of Bitcoin are becoming active,” said David Balter, chief executive officer of Flipside.

Last month active BTC addresses

Excludes freshly-minted Bitcoins

 

“The fact that those wallets have been recently active leads us to believe they could soon be active again,” Stone said. “Put another way: We have no reason to expect them to remain stagnant for another 2-plus years.”

 

Whether they’ll be buyers or sellers remains to be seen.

 

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