A significant transfer of Bitcoin was recorded on August 27, when a prominent “OG” whale moved 750 BTC (approximately US$84 million/AU$128.9 million) to Binance. This transaction has sparked speculation regarding the whale’s intentions, particularly concerning the realisation of profits from their substantial holdings.
This particular whale originally acquired a total of 5,000 BTC back in late 2013 at an average cost of US$332 (AU$509) each, amounting to under US$1.66 million (AU$2.5 million) in total investment. Remarkably, the entire holding had remained dormant for over a decade until it became active again last December, coinciding with Bitcoin’s rise past the US$90,000 (AU$138,000) mark.
According to on-chain data, the owner has now sold a cumulative total of 1,750 BTC, achieving an average sale price of US$108,160 (AU$166,000) each, which collectively represents around US$189.3 million (AU$290 million). Following this recent sale, they are sitting on an impressive profit of US$550 million (AU$844 million), translating to a 331-fold return on their original investment. Of the initial holding, the whale retains 3,250 BTC—750 BTC in the wallet that executed the transfer and an additional 2,500 BTC in a related wallet.
### Activity Among Long-Term Bitcoin Holders
Interestingly, the recent months have witnessed an uptick in activity among long-dormant Bitcoin wallets. For instance, a long-term holder who procured 3,962 BTC in 2011 for around US$0.37 (AU$0.57) each moved their entire holding, worth over US$460 million (AU$706 million), to a new address. This movement came as a surprise to many, as it was initially believed that access to the wallet had been lost.
Moreover, another significant event occurred in July when a whale transferred 10,603 BTC, valued at over US$1 billion (AU$1.5 billion), after years of inactivity. Additionally, a wallet that had not seen movement for over 14 years transferred a massive 40,191 BTC (approximately US$4 billion/AU$6.1 billion) to Galaxy Digital.
#### Market Impact
Crypto analyst Willy Woo has noted that the increased selling activity among these long-term holders is having a negative impact on Bitcoin’s momentum, creating market distortions. He remarked that the concentration of Bitcoin supply among early adopters, who acquired assets at prices below US$10, could require substantial new capital inflow to uplift the current Bitcoin price.
Woo emphasised the need for these older investors to sell off their holdings for the market to progress: “BTC is going through growing pains until these 10,000x gain investors are absorbed.”
In summary, the recent surge in activity from long-standing Bitcoin wallets raises questions about market dynamics, profit-taking, and future price trajectories for Bitcoin as various whales begin to cash out substantial sums from their investments.
