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Bitcoin wallets, dormant for 11 years, transfer $60 million

Long-dormant Bitcoin wallets, inactive for nearly 11 years, suddenly transferred a whopping 1,000 Bitcoins (BTC) within a 20-minute window, on-chain analysts reported Sunday.

Lookonchain, an analytical tool that offers insights into blockchain activity, noticed that two wallets — “16vRqA” and “1DUJuH” — initially received 500 BTC each in September 2013.

At the time, Bitcoin traded at a modest $124 per coin. Fast-forward to today and these once-insignificant transactions have ballooned into a massive windfall.

The coins, valued at approximately $60.9 million at the current BTC price, translate to a staggering profit margin of 49,274.2%.

The sudden resurgence of activity from these dormant wallets has got tongues wagging throughout the crypto community, sparking intense speculation about the motives behind these unexpected transactions. 

Given the prolonged period of inactivity, questions abound regarding the identities and intentions of the wallet holders, with some crypto community members wondering if the funds were part of the Silk Road stash held by the U.S. government.

Others jokingly speculated whether it was mysterious Bitcoin inventor Satoshi Nakamoto returning to cash their holdings, which are said to be in the millions of coins.

The market closely monitors movements from old wallets, as they often involve large sums of Bitcoin that can impact market dynamics if sold on the open market.

Furthermore, crypto market watchers have historically viewed the emergence of long-dormant Bitcoin holders as a bearish signal, potentially heralding a sell-off to capitalize on profits. 

However, despite the significant profit margins, the owners of the two wallets have opted not to cash out through exchanges, instead choosing to transfer their assets to undisclosed wallets, adding another layer of intrigue to their motives.

Many Satoshi-era Bitcoin adopters have seemingly held onto their coins through various market cycles, with more than 1.8 million Bitcoins often tagged as “lost” since the wallets they are held in have shown no activity in the intervening years. 

However, the resurgence of these long-dormant addresses underscores the enduring value and long-term holding strategies within the Bitcoin community.