What happened: An anonymous cryptocurrency wallet holding $61,158,324 of Bitcoin (CRYPTO: BTC) just transferred their funds onto Coinbase (NASDAQ:COIN). The bitcoin wallet address tied to this transfer has been identified as:
bc1qm5pzzlvs6kwjfn5fflgqnka0vwfzfmv4jh5tt2
You can view more details about the transaction here.
Why it matters: Cryptocurrency transfers from wallets to exchanges is typically a bearish signal. Most high networth cryptocurrency traders hold their funds on a hardware wallet, as these devices offer better security than cryptocurrency exchanges. Hardware wallets store investors' private keys offline, securing their digital assets from online hacks.
When whales transfer bitcoin onto an exchange, this typically means they are looking for liquidity. It's unlikely that the investor plans to hold their crypto on Coinbase, as the security risks of holding large amounts of cryptocurrency on an exchange are higher than holding these assets in a hardware wallet. It's likely that this Bitcoin whale is planning either on selling Bitcoin or trading it for other altcoins.
Price Action: Bitcoin is down -6% in the past 24 hours.
See Also: How To Buy Bitcoin
Public Blockchain data sourced from Whale Alerts Twitter (NYSE:TWTR).
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.