Bitcoin whales are renowned for their large-scale transactions in the world of cryptocurrency. Historically, early investors who placed their trust in Bitcoin saw substantial returns, with some even making millions. As time passed, new whales emerged, making even more sizeable investments.
Bitcoin Whale and Profit
A Bitcoin (BTC) whale, who had been inactive for 5.5 years, made a significant move on June 11 by transferring 8,000 BTC to a Binance address, sparking concerns in the market. If this investor decides to sell their holdings today, they could potentially make over $500 million in profit. Stay updated with the latest technology news on NEWSLINKER.
Data from Lookonchain reveals that the wallet address ‘1FMbcnYvvccZ6hR324cFRpn1QX9TCkqtAe’ acquired 8,000 BTC at an average price of $3,810 per coin. The transaction took place on December 6, 2018, with an initial investment of around $30 million.
Years later, this Bitcoin whale resurfaced after 5.5 years of dormancy and transferred their entire balance to Binance, a move often seen as a precursor to a potential sale. If this holds true, the whale could be looking to cash in on their investment after more than five years. At the time of Lookonchain’s report, the 8,000 BTC was valued at approximately $535 million.
Bitcoin Whale’s History
What do the recent transactions of this whale signify? The first transaction occurred on November 28, 2018, when 6,800 BTC were purchased at a rate of $3,754 per coin. Subsequent transactions took place on December 5, with the acquisition of 1,000 BTC at $3,487 each, and on March 13, 2019, with the purchase of 200 BTC.
The decision to transfer all BTC to the exchange could potentially indicate a looming market downturn. With the upcoming FOMC meeting and interest rate decision, heightened volatility is expected. Despite speculative demand from futures and ETFs, low on-chain and spot transaction volumes suggest a lack of interest in BTC.
With the price of BTC currently at $67,000, the investor has seen substantial gains, but the question of when they will decide to sell still lingers. For more news updates, follow us on Telegram, Facebook, Twitter, and Coinmarketcap.
Disclaimer: The information provided in this article should not be construed as investment advice. Investors should be mindful of the high volatility and associated risks of cryptocurrencies and conduct their own thorough research before making any investment decisions.
