Bitcoin’s BTC/USD blockchain saw its largest transaction of the year, with $665 million worth of the cryptocurrency changing hands in a single transaction.
What Happened: Santiment, an on-chain analytics firm said, “The largest Bitcoin transactions thus far in 2024, worth $665.3M, occurred ~6 hours ago.”
According to Santiment, this transaction took place within one hour where 42,870 Bitcoin were moved, marking the busiest hour of Bitcoin transfers in nearly half a year.
On the heels of this large transaction, it was also observed that Bitcoin miners have been actively selling their stash. On January 17, they sold over 10,000 Bitcoin. This marked the most considerable drop in miner reserves in over 12 months. CryptoQuant, an analytics firm, confirmed that miner reserves dipped by 10,233 BTC on that day, which translates to about $450 million worth of Bitcoin.
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Why It Matters: This mining activity fits with the typical pattern of accumulation and selling that miners follow. A report from Bitfinex last year noted that miners started to stockpile Bitcoin around mid-2023 when the prices were lower, and mining was less profitable.
Miners tend to sell their Bitcoin when its value and their mining profitability go up. This sell-off by miners is generally to boost their cash flow or to take advantage of higher prices during a market rally. Presently, Bitcoin’s price has been hovering between $42,000 and $43,000.
Price Action: At the time of writing, Bitcoin BTC/USD was trading at $42,662 down 0.15% in the last 24 hours, according to Benzinga Pro.
Photo by Kitti Suwanekkasit on Shutterstock
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