Will These Satoshi-Era Dormant Wallets Impact Rally to $70K?

Data from crypto monitoring services reveals that five Satoshi-Era wallets, inactive since 2009, have transferred a total of 250 Bitcoin, valued at approximately $15.9 million. Each wallet had originally accumulated 50 BTC as block rewards, a common practice in the early days of Bitcoin when mining difficulty was significantly lower. This Bitcoin news has raised concerns about how this could impact the crypto’s rally to $70,000.

Bitcoin Mining Wallets Active Again: Market Ripple or Surge?

Recent activity in long-dormant Bitcoin mining wallets has captured the attention of the cryptocurrency community. Whale Alert and other blockchain analysis tools have reported that five wallets, each containing funds mined in the early days of Bitcoin, have become active after over fifteen years of inactivity. 

These wallets, holding 250 BTC collectively, transferred these funds in a series of transactions within just an hour. Each wallet received 50 BTC as mining rewards per block back in 2009, showcasing the foundational days of Bitcoin’s blockchain technology.

Additionally, there have been multiple instances of dormant BTC wallets becoming active this month. Notably, one wallet containing 43 BTC, worth over $2.5 million at the time, was activated after nearly 11 years. Last week, four additional wallets were activated, with one containing BTC valued at $10.5 million during the activation, highlighting a trend of reawakening among Satoshi-era assets.

The sudden movement of these BTC whales has prompted speculation about the owners’ identities and their reasons for activating them now. This event coincides with a significant surge in BTC price, which briefly topped $64,000, its highest mark since late August. 

This Bitcoin news is undoubtedly worth keeping an eye on, especially if these mining wallets begin to offload their holdings. Past patterns suggest that movements from historic wallets can influence market perceptions and investor behaviour due to the large amounts of BTC involved.

However, despite this development, other things hint that the Bitcoin price will hit $70,000 soon enough. This includes the recent US Fed rate cut and Binance founder CZ’s release on September 29. The fourth quarter, historically bullish for BTC, is almost here, and the post-halving rally should begin soon.

Analyzing Market Trends: Technical Perspective

Chart analyst Ali Martinez has noted that Bitcoin is again testing the 200-day SMA, a critical technical indicator often associated with determining long-term market trends. Ali notes that historical patterns show that failing to reclaim this level has previously led to significant corrections in Bitcoin price, as observed in 2020, 2018, and 2014. 

Ali advises investors to monitor this technical threshold closely. A successful breach above the 200-day SMA might solidify a bullish outlook for Bitcoin. He, however, warns that a rejection at this level could signal trouble for BTC Price.

The activation of these Bitcoin mining wallets might play a role in either boosting the bullish sentiment or triggering cautious pullbacks among investors.

At press time, Bitcoin price is trading at $63,379.74, marking a 9.20% increase over the past seven days. The cryptocurrency’s trading volume has also surged, reaching $41.87 billion in the last 24 hours.

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Ronny Mugendi

Ronny Mugendi is a seasoned crypto journalist with four years of professional experience, having contributed significantly to various media outlets on cryptocurrency trends and technologies. His work includes notable contributions to Cryptopolitan and Coingape News Media, where he shares his insights on the latest developments in the cryptocurrency market. Outside of his journalism career, Ronny enjoys the thrill of bike riding, exploring new trails and landscapes.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.