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Ancient 15,000 BTC Moving 10 Days Prior to Massive BTC Drop

Wed, 09/07/2022 - 08:15
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Arman Shirinyan
Weird on-chain activity was spotted prior to biggest market drop we saw since July
Ancient 15,000 BTC Moving 10 Days Prior to Massive BTC Drop
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Contents

In the last 10 days, the network saw suspicious activity of Bitcoin whales who have moved around 15,000 BTC. The most notable difference between regular coins and the moved amount is the date they were last spent. Almost all coins belonged to investors who purchased BTC back in 2014.

Did ancient whales cause the drop?

Technically, a one-time injection of 15,000 BTC on the market could have caused a major plunge of the first cryptocurrency and issues with liquidity. But despite the significance of the sum, it could not have been the sole reason for the plunge BTC took yesterday.

According to CoinGlass, the cryptocurrency market saw more than $350 million in liquidations in the last 24 hours. While the amount may seem large and significant, the gradual selling of 15,000 BTC on the market could not cause such a large spike in liquidations.

Reportedly, whales moved most of those ancient funds to Kraken centralized exchange and most likely sold them ahead of the large price drop. Meanwhile, most experts believe that the main reason behind the correction is tied to the upcoming rate hike and the continuous strengthening of the monetary policy.

What's next for the first cryptocurrency?

As for Bitcoin, it is consolidating at July's level and has not yet dropped lower. Luckily, the current price level corresponds to a strong psychological and historical support level, which may keep the first cryptocurrency afloat.

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About the author

Arman Shirinyan is a trader, crypto enthusiast and SMM expert with more than four years of experience.

Arman strongly believes that cryptocurrencies and the blockchain will be of constant use in the future. Currently, he focuses on news, articles with deep analysis of crypto projects and technical analysis of cryptocurrency trading pairs.