The bitcoin world lit up on Friday after two wallets holding a combined 20,000 BTC — untouched since 2011 — suddenly came to life, sparking speculation, awe, and some market caution.
Blockchain trackers Whale Alert and Lookonchain were the first to flag the transfers, noting that each wallet contained 10,000 BTC.
When the coins were initially acquired, bitcoin traded at just $0.78.
At current levels near $108,868, each wallet now holds more than $1.09 billion — a staggering unrealized gain of over 139,000%.
The activation of long-dormant wallets has become a rare but closely watched event in the crypto space, given the potential for large-scale sell-offs and their market impact.
A rising trend of old bitcoin awakening
Data from blockchain analytics firm Onchain School shows that the movement of older bitcoin is not just a one-off phenomenon this year.
According to the group, 62,800 BTC that had remained unmoved for more than seven years was activated between January and March 2025.
That marks a 121% increase from the 28,000 BTC moved during the same period in 2024.
The reason for this uptick remains uncertain, though analysts point to the sharp rise in bitcoin’s value and the surge in institutional interest following the launch of US-regulated spot bitcoin ETFs as possible drivers.
Bitcoin’s price has climbed 16% so far this year and set a new record above $110,000 in May.
Still, the mystery surrounding the identities and intentions of the dormant wallet holders remains intact.
There has been no indication that the recent transfers are part of a planned sale.
HODLers or sellers? The market watches closely
Caroline Bowler, CEO of Melbourne-based BTC Markets, said the action is consistent with early bitcoin adopters who embraced a “HODL” — hold on for dear life — strategy during the volatile early years of crypto.
“What is remarkable is the amount of self-control that it would have taken through all these market cycles to sit on it for that long,” Bowler told MarketWatch.
Bowler noted that if the owners do intend to sell, doing so in a single trade could destabilize the market.
However, she expects that any sales would likely occur through over-the-counter (OTC) channels, spread out over time to minimize market disruption.
Bowler said there are a number of “dormant wallets out there with significant holdings of bitcoin that are unlikely to ever be activated because people have lost the access to it. And that’s what makes it particularly of interest within the bitcoin community when you see one of these things like back up again.”
Speculation builds amid bullish long-term forecasts
For now, the wallet holders appear to remain long-term believers in bitcoin’s potential.
But with BTC sitting at all-time highs and high-profile forecasts making the rounds, many are watching for signs of a shift.
Tom Lee, head of research at Fundstrat Global Advisors, recently reiterated his bullish stance, forecasting that bitcoin could reach $250,000 by the end of 2025 in a best-case scenario.
His base case remains at $150,000. Lee said in an interview last month that with “95% of the world still not owning bitcoin,” the supply-demand imbalance leaves significant upside.
The sudden reawakening of long-dormant whales could signal rising conviction, nervousness, or just a quiet reshuffling.
Either way, in a market as sentiment-sensitive as crypto, the ripples are being felt far and wide.
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