What happened: An anonymous Bitcoin whale (CRYPTO: BTC) transferred $72,436,159 worth of Bitcoin from Coinbase, and the investor then sent the funds to Binance.
You can see more details about the deal here.
why does it matter: Bitcoin “Whales” (investors holding $10 million or more in BTC) usually send cryptocurrency between exchanges when looking for liquidity. If a whale sells all of its bitcoins on one exchange, there will be a huge impact on the price. That is, the investor will push the price of Bitcoin down in this exchange significantly.
Alternatively, the whale can distribute funds through exchanges to be able to obtain sufficient liquidity. Of course, we don’t know for sure if this Bitcoin wallet is moving funds for sale, as this is just speculation. Another reason investors move Bitcoin across exchanges is security preferences.
The best way to secure Bitcoin is by keeping it in a hardware wallet, something that cannot be done by holding digital assets on an exchange. However, some exchanges, such as Coinbase, keep investor funds in their hardware wallets, which adds an extra level of security to your digital assets.
price movement: Bitcoin price is down -1% in the last 24 hours.
See also: How to buy bitcoin
Public Blockchain Data Source From Whale Alerts on Twitter.
This article was created by the Benzinga Automated Content Engine and reviewed by an editor.