An influential early Bitcoin investor, known as “Bitcoin OG” 1011short, has made headlines by transferring 5,152 BTC, approximately valued at $445 million, to the Binance exchange. This significant deposit, recorded on Thursday, has sparked interest among traders and analysts alike, as large transactions to exchanges often foreshadow potential selling activity in the market.
The trader, who holds a notable long position of around $695 million across various cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), and Solana (SOL), is also reported to have increased his Ethereum holdings. At the time of the deposit, 1011short was managing a portfolio that included 203,341 ETH, 1,000 BTC, and 250,000 SOL.
The cryptocurrency market experienced a brief rally recently, influenced by a cooling of US inflation rates in November. This positive economic news propelled Bitcoin”s price above $89,000 and saw Ethereum nearing $3,000, contributing to gains across several digital assets. However, this upward momentum was short-lived, as market participants adopted a more cautious stance. Currently, Bitcoin is trading around $85,166 according to CoinGecko.
In the wake of the Bitcoin OG”s sizable deposit, the broader crypto market has seen a sell-off, with over $100 million wiped from market valuations within a span of ten hours. This downturn has pushed the total market capitalization of cryptocurrencies below the $3 trillion mark.
As the situation develops, market watchers will be keen to see how this large deposit impacts Bitcoin”s price and the overall market sentiment, especially considering the trader”s substantial long positions in multiple assets.
