Dormant Bitcoin Wallet Skyrockets 7,049% After Years of Inactivity

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As a seasoned crypto investor with over a decade of experience in this wild and unpredictable market, I’ve seen it all – from meteoric rises to heart-wrenching crashes. The recent reactivation of a dormant Bitcoin wallet that’s been silent since 2014 has piqued my curiosity and raised my eyebrows simultaneously.

Based on blockchain information, an inactive Bitcoin wallet has been brought back to life, resulting in a significant surge in its worth.

According to the blockchain data monitor Whale Alert, an account that had been inactive for over a decade (10.6 years) and held approximately 174 Bitcoins, currently valued at around $10,162,306, has recently become active.

As an analyst, I found an intriguing case back in 2014: a wallet that had been dormant for over a decade. In that year, its value was approximately $142,600, as noted by Whale Alert. Fast-forward to the present day, and this wallet’s worth has skyrocketed to an astounding $10,162,306 – a staggering 7,049% increase!

💤 💤 An inactive bitcoin address holding approximately 174 bitcoins (equivalent to around 10,162,306 USD as of now) has been reactivated after being dormant for about 10.6 years. In 2014, the value of these bitcoins would have been roughly 142,600 USD.

— Whale Alert (@whale_alert) August 16, 2024

These types of dormant digital wallets are commonly owned by Bitcoin pioneers who either mined or bought cryptocurrency when it was new and barely recognized. Reawakening these wallets is an interesting event in the financial market, as it indicates that early adopters may be re-entering the Bitcoin scene.

Reviving long-dormant wallets sparks wonder about the owner’s identity and their motives behind activating them at this time. Could they be planning a sale, or are they transferring assets for safety purposes instead?

Although the person who owns the wallet hasn’t been identified yet, the timing of the transaction and the current value of the stored Bitcoins are generating intrigue within the market. It’s unclear why the wallet was activated again, but it could be that the owner is looking to capitalize on the market by selling some or even all of their Bitcoin, given its recent surge in value. Another possibility might be that this wallet has been dormant for a long time, and the keys have only recently been discovered.

Bitcoin’s price action

Over the past two days, Bitcoin experienced a downtrend due to increased selling pressure from bearish traders targeting the Simple Moving Average (SMA) 50, especially the one at approximately $61,556. This significant SMA has been a challenge for Bitcoin since August 8, with the cryptocurrency attempting repeatedly to break through this level, suggesting that the bears are trying to establish it as a resistance point.

Currently, at the point of composition, Bitcoin (BTC) had increased by 0.43% over the past 24 hours to reach a price of $58,423. It subsequently peaked at $58,633 following a drop to $56,120 during Thursday’s trading session.

If Bitcoin continues its ongoing recovery, there’s a chance that bullish traders could try to push Bitcoin prices beyond the daily Simple Moving Averages (SMA) 50 and 200. Should they manage this feat, Bitcoin could potentially initiate an upward trend towards $70,000. On the other hand, bears are expected to fiercely guard the price range around $70,000 up to $73,750.

If Bitcoin’s price drops and goes under $56,000, it could potentially signal the start of a more significant decrease, possibly leading to a drop down to around $49,000.

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2024-08-16 17:54