A legendary Bitcoin (BTC) wallet that has been dormant for over a decade is now selling BTC in alarming numbers.
According to Lookonchain, a crypto whale that originally bought 5,000 BTC for only $1.66 million in 2012 has started to distribute the stash in large amounts. The latest move occurred just three hours ago: 250 BTC, worth about $29.68 million, was deposited to the world's largest crypto exchange, Binance.
This same wallet first appeared 12 years ago when Bitcoin was trading at only $332. At today’s price near $118,248, the initial cost basis translates to a jaw-dropping 34,900% return - a total profit of approximately $578 million.
The whale began selling BTC eight months ago and has sold 1,000 coins in total since then, all at prices around $106,000. That cumulative sell-off has already netted over $106 million. However, today's move - the first in two months - suggests that there may be more to come.
On-chain data shows that the original 5,000 BTC was consolidated from multiple early wallets into a single address about four years ago. From there, it remained untouched until the recent spike in activity.
The latest transfer of 250 BTC occurred when Bitcoin was trading within 1% of its all-time high and the market was cooling off after its mid-July surge. Recent candles suggest a range-bound structure is forming between $116,000 and $120,000.
Whether this seller will continue to sell gradually or dump the rest in larger blocks, time will tell. One thing is clear, though: for anyone watching wallet flows, this OG is one of the most profitable in crypto history. And they are active again.
Vladislav Sopov
U.Today Editorial Team