U.Today – In an epic development, Whale Alert reported that a dormant address containing 119 BTC, worth $6.99 million, has become active after 12.4 years. This address, which was worth just $599 in 2012, has seen a staggering gain of 1,166,666%.
These resurgences can have bearish implications for the market. When addresses that had been dormant for a long time are reactivated, it usually indicates that holders are preparing to liquidate their assets, which could flood the market with significant amounts of Bitcoin.
This can lead to increased selling pressure, which pushes prices down. The market reaction to such events is usually cautious, as traders prepare for potential liquidations.
Interestingly, this trend of decades-old wallets coming back to life has been notable this month, and today is not even the first such awakening.
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Just hours earlier, Whale Alert detected the activation of another dormant address, this time containing approximately $2.6 million worth of BTC. Also on July 2, another address containing $2.1 million worth of BTC was activated after 13 years of inactivity.
These moves are particularly notable given the current state of the cryptocurrency market. The price of Bitcoin continues to trade in the red, with the leading cryptocurrency hitting $57,300 today, a level not seen since late April.
The market crash, coupled with the reactivation of these old addresses, has created a climate of uncertainty and caution among traders.
This article was originally published on U.Today
