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Bitcoin (BTC) is witnessing market volatility as the asset struggles to break and stay above the $95,000 resistance level. Amid this price volatility, the Bitcoin whale has reached a massive valuation level after spending six years in hibernation.
Whale activity raises market speculation
According to X mail From Lookonchain, a whale wallet suddenly became active as a user deposited 500 BTC worth $46.87 million into Coinbase Prime.
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Although the intention of this huge deposit is currently unknown, it usually indicates a possible intention to sell. This speculation seems reasonable given the value of the asset as of the time the whale made the purchase.
Six years ago, the average price of Bitcoin was $7,000. That is, the entire 500 Bitcoins were accumulated at approximately $3,500,000. The whale estate has now generated impressive profits and is worth more than $47 million at current market value.
As of this writing, the price of BTC change Hands at $94,404.63. However, using a discounted price of $94,400 gives a value of $47,200,000. This gives a profit margin of $43,700,000 if the whale decided to sell his total holdings.
Analysts expect that since Bitcoin entered the market Distribution stageMaybe the whale decided to sell these 500 Bitcoins. Pisces may consider increasing profits to potentially reinvest in other projects while they will likely just liquidate.
Market implications and stakeholder perspective
Despite the broader volatility in market prices, some stakeholders still believe that Bitcoin will rebound significantly.
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NBA legend Scottie Pippen insists the current price action is A Bear trap They are created artificially to attract investors to sell. Pippen believes that Bitcoin will rise after most people in the market have dumped it. Therefore, he advised his followers not to sell.
Whatever the reason for the 500 BTC whale move, market watchers will be tracking its next steps to see if a sell-off is part of it. He also became a large holder of 357 BTC active 11 years later – just before the end of December 2024.
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