A dormant Bitcoin wallet linked to early adopters executed a massive over-the-counter sale of approximately 80,000 BTC (worth $9 billion) in late July, facilitated by institutional firm Galaxy Digital. This marks one of the largest single liquidations by a Satoshi-era holder in recent history, occurring while Bitcoin traded near record highs between $115,000 and $118,000.
The transaction, revealed to be part of the investor's estate planning strategy, initially sparked speculation about eroding confidence among early adopters. Market commentator Scott Melker suggested it might indicate shaken faith in Bitcoin's long-term viability. Despite concerns, Bitcoin's price dipped only briefly before rebounding to approximately $119,000 – $5,000 higher than pre-weekend levels – demonstrating minimal market disruption.
Analysts highlighted the smooth absorption of the trade through institutional OTC channels as evidence of Bitcoin's maturing infrastructure. Some interpreted the transaction's execution without significant price volatility as a de facto vote of confidence in Bitcoin's institutional liquidity support. The event underscores an ongoing generational shift in ownership, where early holders redistribute assets to institutional investors and sophisticated retail participants.
On-chain analysts are now intensifying scrutiny of dormant wallets for similar activity, though prevailing sentiment remains cautiously steady. Galaxy Digital's role in facilitating this landmark transaction highlights the expanding institutional infrastructure supporting cryptocurrency operations.