The bulls have wrestled back control in the cryptocurrency market, with the bitcoin price having reclaimed the $14,000 threshold, a level it hasn’t seen since Oct. 31.
The momentum in the cryptocurrency market was building throughout the day, and bitcoin didn’t disappoint. At last check, the BTC price was trading higher by about 3% to hover at $14,001 on Bitstamp.
For some, including Castle Island Ventures Partner Nic Carter, the catalyst for the rally was unclear on election day. Some pointed to the potential for more economic stimulus. Or it could have had something to do with a bitcoin whale who moved a huge amount of BTC between wallets, which had the crypto community holding its collective breath.
Bitcoin Whales on the Move
A mysterious bitcoin whale moved close to $1 billion in BTC, which is a surefire way to drum up some excitement among cryptocurrency investors, especially if it’s a prelude to a buy. The transaction, which was revealed by Whale Alert on Twitter, saw more than 69,300 BTC, worth $955 million, move from one unknown wallet to another unknown wallet, as Whale Alert described.
The cryptocurrency community was quick to investigate the original wallet address and came to some conclusions. Crypto trader Alex Ferraro noted that the wallet last appeared in 2018 and that the amount was sent to a new bitcoin address. While the bitcoin whale sent the eye-popping amount in a single transaction, they did appear to do a test run. Prior to sending 69,369 BTC, they sent 1 BTC to a separate wallet address.
The whales were active, as Whale Alert also detected another investor moving 1,000 BTC, worth about $14 million, from Coinbase to an unknown wallet. That transaction was followed by yet another one for about the same amount from an unknown wallet to Crypto.com.
69,369 #BTC (955,011,610 USD) transferred from unknown wallet to unknown wallet
— Whale Alert (@whale_alert) November 3, 2020
The bitcoin rally came on the heels of a big day on Wall Street in which Dow Jones Industrial Average, S&P 500 and Nasdaq all closed decidedly higher while futures were in the green in after-hours trading. Still the bitcoin price has been trading independently of the stock market of late. Prior to the equity rally on Nov. 3, stocks were down 7% since Oct. 12 while bitcoin was up about 20%, according to Messari.