Latest Bitcoin (BTC) Price Updates
Latest crypto updates and news regarding price and performance of Bitcoin (BTC).
Earlier today, addresses associated with the US government were transferred 49,000 Bitcoins seized from The Silk Roadworth 1 billion dollars.
Bitcoin Price Falling: Simple Volatility or Something More?
The transfer above was accompanied by a drop in the price of BTC below $22,000 and a significant increase in a key parameter of holders. Therefore, one wonders if this could mean that traders need to prepare for potential volatility in the asset’s price.
The BTC transfer probably caused a significant increase Glass node‘s Coin Days Destroyed (CDD) parameter. This indicator measures the weighted movement of Bitcoins based on when they were last moved from an address.
CDD is calculated by multiplying the amount of Bitcoin transferred by the number of days since BTC was last added to an address. A peak in the CDD indicator usually precedes price volatility, by a small advantage for bearish investors.
However, some long-term investors may also move Bitcoin to take advantage of more upside gains in the futures market. However, CDD’s current two-month high does not necessarily indicate that a price movement from $1000 to $1500 on the way.
For example, exchange inflow data does not yet show significant peaks. On the contrary, approx 5000 BTC (worth around $100 million) have been moved from platforms in the last 24 hours.
Therefore, 215 million dollars are transferred to Coin base has had little impact on the price so far. However, with only around 20% of 49,000 BTC transferred to an exchange, the risk of increased selling pressure remains.
Currently, the BTC/USD pair is trading above support between $21,500 and $21,950, which is encouraging for buyers despite a lot of negative news this week. Further confirmation will come with subsequent daily bars above this support area.
What Happens to Bitcoin from Silk Road?
March 8 was more than 50,000 Bitcoinsvalued at $1 billion, was moved from several wallets linked to US government law enforcement seizures and transferred to new addresses, with some BTC being moved to Coinbase.
According to data shared by an analysis firm in the chain PeckShield, three transfers were made from US law enforcement wallets. These wallets contained nearly 51,000 BTC that were seized in November 2021 from the Silk Road marketplace.
The seized BTCs were grouped into two wallet addresses. Of these three transfers, most appear to be internal. However, approx 9,861 BTC was sent to Coinbase.
The other two included a 30,000 BTC transfer and a 9,000 BTC transfer. Silk Road was an online black market and the first modern darknet market. It was launched in 2011 by the American founder Ross Ulbricht under the pseudonym “Dread Pirate Roberts.”
The marketplace was one of the first to accept Bitcoin payments, helping to spread the use of the cryptocurrency. American law enforcement confiscated a number of items from the founder, including BTC reserves, which were auctioned off from time to time.
In 2014, Tim Draper, a well-known Bitcoin supporter, bought nearly 30,000 BTC in one such auction. In October 2015, another auction was held for 50,000 BTC, where the US Marshals Service auctioned 21 blocks of 2,000 BTC and one block of 2,341 in an online auction.
Although only a small fraction of 50,000 BTC was sent to Coinbase, the movement of billions in BTC from wallets linked to US law enforcement agencies sparked wild reactions and even crazier theories from Twitter users.
One of them pointed out that if US agencies decided to sell Bitcoin from Silk Road, it could create significant selling pressure on the market. At the same time, others questioned this possibility.
Focus on the current price of Bitcoin (BTC) and predictions
Bitcoin is currently worth $21,662.72. BTC has moved 0.19% in the last 24 hours with a trading volume of $11,262,722,913. Bitcoin is currently ranked first among all cryptocurrencies with a market capitalization of $431,174,798,867.
Bitcoin, according to some experts, is one of the most surprising cryptocurrencies to rise this year (BTC). The BTC price forecast for 2023 predicts a marked increase in the second half, perhaps now $32,499.85.
As with other cryptocurrencies, the rise will be gradual, but no major declines are expected.
Regardless, an average price of $30,333.19 is quite ambitious, but is feasible in the near future given cooperation and expected progress. BTC should have a minimum value of $25,999.88.
