Market Outlook: 8,000 Previously Inactive Bitcoin on the Move – What Comes Next?

According to the Popular CryptoQuant analyst Maartunn, there has been a sudden movement of 8,000 dormant Bitcoin (BTC) that have been inactive for five to seven years. This has raised concerns in the crypto market amidst current bearish sentiments. The movement of these BTC came after a week of volatility where BTC struggled to break above $89,000 but faced heavy selling pressures due to US President Donald Trump’s tariff policies.

$674 Million In Old BTC Transfers In Single Block – Cause For Alarm?

The Spent Output Age Bands metric measures how long Bitcoin tokens remain inactive before being moved. Maartuun recently shared in an X post that 8,000 BTC worth $674 million, last transferred between 2018 and 2020, were recently moved in a single block, capturing significant market attention.

This movement follows a series of dormant Bitcoin wallets being activated. For instance, on March 24, a 14-year inactive Bitcoin wallet transferred 100 Bitcoin valued at $8.5 million. Additionally, in early March, six ancient Bitcoin wallets moved nearly 250 BTC worth $22 million.

The recent transaction reported by Maartuun is of a much larger scale, potentially signaling uncertainty in the Bitcoin market. Usually, moving such a large amount of BTC from long-term dormancy indicates incoming selling pressure and major price corrections.

However, there could be non-bearish reasons behind these transactions such as institutional investors or large holders shuffling internal wallets or reorganizing cold storage. The unknown owners of the new wallets receiving the 8,000 BTC may reduce the likelihood of a bearish reaction from BTC holders.

Bitcoin Price Overview

Following the US Government’s announcement of a 25% tariff on auto imports and goods from China, Mexico, and Canada starting from April 3, Bitcoin prices dropped by 4.00%. This negative reaction reflects concerns in the crypto market regarding President Trump’s international trade policies.

These measures are fueling fears of an economic slowdown that could lead to high-risk assets like BTC being removed from investors’ portfolios, causing further downside potential.

Currently, Bitcoin is trading at $83,693, reflecting a 0.72% decline in the last 24 hours and a 2.53% decline in the last seven days. The daily trading volume has increased by 19.38% to $31.58 billion, with a market cap of $1.66 trillion, representing 61.1% of the total crypto market.

Bitcoin