Dormant Bitcoin – millions of BTC at rest during the crypto winter

keep the wolf from the door – Not so simple in full bear market. The crypto winter freezes our nights and tortures our brains. the cryptocurrency prices remaining, there, in a corner of the head. Paradoxically, some, or rather some, sleep peacefully: these are the whales. Sleep, their best ally, guarantees the good health of their wallet. Thus, fallen into the arms of crypto-Morpheus, cetaceans 3.0 seem ready to pass the ice age that we are going through, peacefully huddled against their beloved BTC.

BTC whales are sleeping in

To fully understand this natural phenomenon that is the hibernation of the whales of BTC, it is first necessary to go over the basics. What is a whale in cryptography?

It’s a encrypted addressa wallet (portfolio in English) which holds a lot of cryptocurrencies. In our case it is those who hold bitcoins that interest us. The peculiarity of these wallets is that they are inactive, asleep. Indeed, once the whale has stored his ton of bitcoins, it takes several years for it to expel them through its vent! And, that is the whole point of this cryptographic species.

Often early veteransor whales from the first ICOsthese wallets build over the years a legend which accompanies them and which prolongs the myth.

Number of bitcoins accumulated by whales / Top 5 sleeping wallets Source – Bitcoininfocharts

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Bitcoin merchant passed

There are several types of sleeping pills for these wallets. The strategy of “holding(keep your cryptocurrencies ad vitam aeternam) for’mitigate BTC volatility in the short term is a good reason not to touch your wallet. Not selling then becomes the way to make a profit. Other crypto whales are also out of spite. Their funds are blocked because they misplaced their private keys. Some then move heaven and earth to find their cherished bitcoins lost forever.

Finally, and above all, some of these wallets date from the original era, from the genesis of bitcoin. They are the cradle of our ecosystem. As popular as they are dangerous, these whales can cause heavy damage on the markets if they decide to evict their bitcoins in the image of the Solend whale.

According to data from Bitcoininfocharts, BTC whales are gorging themselves so much that they alone would hold more than 90% of bitcoins in circulation. Indeed, on the 19 million BTC available the whales hold 17.87 million BTC. Enough to sleep for a few winters. The greediest whale holds 79,957 bitcoins, i.e. 1.6 billion dollars according to BTC price at the time of writing these lines. We therefore have an interest in ensuring that these wallets, pillars of the ecosystem, remain dormant.

So you will understand. The whale both under the sea and on the blockchain is a precious but feared species. Participating in the crypto legends that build Bitcoin culture, they also have a crucial interest for the crypto ecosystem : they guarantee its durability and good health. The fact that the latter own part of the Bitcoins in circulation raises questions for the long term. However, in the short term, the crypto winter may not be fatal if the whales have not washed ashore.

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