After more than 11 years of inactivity, a dormant Bitcoin address containing $31 million worth of BTC suddenly came back to life recently. On July 22, 2023, the address transferred your entire balance to a new address.
Initial BTC address comes back to life
Bitcoin has been around since 2009, so there are dormant addresses that have been dormant for years that contain large amounts of BTC. Some of the first users of this cryptocurrency were able to buy it at a very low price, but the private keys of many of these addresses were lost, blocking them forever. Every once in a while, however, some of these addresses suddenly come back to life when the owner recovers the value of the funds.
The address here was one of the first Bitcoin addresses. According to the chain’s data, it received its first transaction of 1,037 BTC in November 2012. At that time, the price of each BTC sold for just $12.41. He then received regular small deposits of BTC over the years. With the price of Bitcoin now at $29,828, this sets the total price at just over $31 million.
💤 💤 💤 💤 An inactive address containing 1,037 #BTC (31,080,234 USD) has just been activated after 11.3 years. https://t.co/6cW9vnTOhD
— Whale Alert (@whale_alert) July 22, 2023
There are a few possibilities for what might have prompted the owner to suddenly move these funds after all this time, ranging from regaining control of the private keys to cashing out and making a profit. Whatever the reason, the sudden awakening of dormant Bitcoin addresses has the potential to cause a stir and spark interest in the Bitcoin community.
BTC price remains below $30,000 | Source: BTCUSD on Tradingview.com
Implications for the price of Bitcoin
When a large amount of BTC moves suddenly, it can cause temporary price fluctuations. An immediate liquidation of the assets can cause a drop in the market price of Bitcoin. However, these effects are usually short-lived. In the long term, an increase in circulating supply is unlikely to have a significant impact on Bitcoin’s price due to the rapid rate of adoption.
Inactive BTC addresses have also popped up this year. In May, a similar address containing 1000 BTC that was inactive for over 11 years moved 400 BTC to a new wallet. In February, a BTC address that had been dormant for 11 years came back to life to move $9.6 million worth of BTC.
These examples show that even if an address has been dormant for a long time, there is always a chance that funds will move again. However, many of these addresses seem to have been lost forever. According According to IntoTheBlock, around 29% of Bitcoin’s total circulating supply is now presumed to have been lost forever after remaining stagnant for more than five years.
Featured Image from iStock, Chart from Tradingview.com
This post Bitcoin (BTC) Address Dormant For Over 11 Years Moves $31 Million In BTC
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