Bitcoin Forum

https://blockchain.info/address/3Cbq7aT1tY8kMxWLbitaG7yT6bPbKChq64

Currently circulating supply for Bitcoin is 16,874,375 BTC.

Does this mean an insignificant drop of ca. 0.57%?

If any of the big whales would suddenly cash out, Bitcoin's price could get quite a big hit. However, it is not in their interest to do it, since this way they would get far less cash than by selling slowly. On the other side, some super-whale could have the precise purpose to crash the prices so that he can buy the coins back cheaper. By the way, I guess this scenario has already occurred a number of times, perhaps even recently.

He will sell 96,651 Bitcoin.  100% true.

This guy can not sell all BTC for 1 day. It will be very hard to do considering criptocurrency exchanges day limits and volumes

is he alien or something????
i guess he may not be the person for sure :D

What an amount of money for a single person. Although I do not envy him, is cashing out that amount of money even possible? If so, he will greatly affect the whole bitcoin market and can make the price of bitcoin very high or low. That is why whales are greatly feared and sometimes hated by the bitcoin users because they have so much money and they find it hard to protect themselves and their money.

It would be much more profitable to sell slowly, so the only scenario where someone would sell that much quickly is if they desperately needed cash right away, like if there a really amazing black friday sale and they wanted to buy 10,000 refrigerators.

I don't see why that guy would suddenly cash out if he owes that many bitcoins. If hypothetically that happens then sure bitcoin price will have to suffer 

What if this guy with $10 billion suddenly starts buying Bitcoin?

Circulating supply is irrelevant, most of it isn't "circulating". Only a small portion is traded each day. Trade volume is currently $7 billion per day.

Buying with dollars increases the price, selling Bitcoins lowers it. The market will always find an equilibrium, which makes speculating like this useless.

Man selling 8000 Bitcoins

https://bitcointalk.org/index.php?topic=2698402.0

If he wants to cash out and he is not an idiot he will start selling small parts, slowly. I bet if he is not an idiot he won’t sell everything to begin with, but something similar happens with the stock market and people who hold large positions usually sell small parts and, if they want to sell all their position, they do it out of the market. They don’t just go and place a sell order for all their stocks, as that goes against their interest.

An user won't intend to sell all the bitcoin holdings in a day's time or two. Cashing out of bitcoin is possible to some extent and to some limit whales will manipulate the price after which bitcoin won't go that low in value.

Then he's not smart.

1.) He would be devaluing his own money.

2.) He would he need 96,651 BTC worth of money for?  He can just cash out a little by little

3.) He would be cashing out before BTC is massively adopted in the future when he can just spend BTC and not fiat money.

4.) RIGHT NOW BTC IS CHEAP! (DYOR and come to your own conclusions on that one)

I only see in that case, the market will start dropping hard atleast another 30 percent bringing back btc to new lows. This has happened several times in the market and always in this scenario , the buyers take back buy positions at cheaper prices and start waiting again to hit their target price and then cash out.But long term investors are never interested in this type of stuff as they believe in asset based.

We have had similar situations when the Silkroad coins were sold on auction. {about 50,000 bitcoins} This only had a slight

impact for a few days, until the market absorbed the news. Luckily most of those coins were bought by hoarders, so it was

not dumped onto the exchanges at once. Most of these people know that the price will drop, so they will not dump a lot of

coins at the same time. They will sell small batches at a time to get the highest price possible.  ;)

Those are a lot of bitcoin for only one guy. How can he handle it? :D I hope he doesn't cash out because that would affect the bitcoin price

This guy is buying, he does not probably need that money so that he will never cash out all of them suddenly, even all world make crypto illegal, he would buy more  :) this is how they make millions of dollars.

If he had cash out this much bitcoin in a one day.He will loss a huge for sure. As we know the price of bitcoin will increase further and now the value is low ,they will feel for entire selling in one day.
Best option to cash out in bitcoin is selling it based on the requirement. We should keep some bitcoin for our future.

Well yes there is a significant of price in bitcoin if whoever owns that address will sold all of his bitcoins but on the other hand, i high doubt that one person owns that huge amount of bitcoins in that address (i only know person who owns a huge amount of bitcoins 40k to be exact and that is roger ver) and if that person owns that amount of bitcoin and cashes out, the problem is the banks and the government depending on what country he /she lives they will investigate you regarding with your money received on your bank account from the exchange or worst he/she will be charged with money laundering. If you ask me, who owns that address? I 'd that address owned by an exchange.

Woow!!! now that is a lot of coin, ...
I would go bananas over this, if i had this account..
Anyways i dont think he will sell all that just once, besides, there are limits a person can sell, ...
But for the answer to your question, if he suddenly cashes out, yes, there is gonna be a high or low in the market, however it goes, i am not sure .

I'm sure if he was to cash out it would cause a big ripple through the crypto world. I would like to think if you have that much bitcoin you see how it can be used in the future and not just into crypto currencies for quick gains.

This wallet shows as the third richest on the rich list, and instincts tell me that it's somehow affiliated with Bitfinex.
but there is no clue
https://blockchain.info/address/3Cbq7aT1tY8kMxWLbitaG7yT6bPbKChq64

source internet

some news channel talking about holder of this address
https://www.dailysabah.com/finance/2018/02/16/gutsy-trader-who-bought-400-million-in-bitcoin-at-its-low-is-nearing-billionaire-status

https://www.finder.com.au/worlds-third-richest-bitcoin-wallet-just-bought-41000btc

as per news this person has invested 400 million dollar at 8500$ about 41000 btc

That would not be significant, but you're putting a lot of concen on one event that actually happens more frequently than you think.

It doesn't matter if selling comes from 1 wallet or 1,000, there have been plenty of days, weeks, or months where there's been a major sell off. And major sell offs will drive the price down. It's all normal in the cycle of supply and demand investing.

The only concern you should have related to 1 wallet selling Bitcoin, is Satoshi's wallet...the first wallet...if you see coins coming out of that wallet you'll see a lot of people asking questions.

Check the candles on the markets. 100k BTC sold in one day at one exchange can cause a drop of even 15-18%, but this only if the other markets are also selling.
A smart seller would spread between the top 2-3 exchanges and then the result would be about 3x smaller drop (and better price for the seller).
Depending on market's mood, such a drop can cause a downtrend or it grows back in less than a day. I expect more the second.

Only a complete and total imbecile would send that much to an exchange. All of the seriously big trades happen OTC which never touches the live market. Vast amounts can change hands P2P.

They would also have buyers lining up. It's very rare to be able to obtain amounts of that magnitude from anywhere.

This amount is far less than the total supply,so i think it wont have a significant effect on the price of bitcoin. If you look at the volumes of bitcoin on the numerous exchanges we have,you will realize that a lot of bitcoins are being sold daily,but the price is still not affected significantly.

I do not think there will be anything if a man with so many Btc goes crazy I stay with his family so much Btc I'm mad so you do not notice anything in your family.

Nobody sensible "suddenly cashes out" - unless they want to sell for considerably lower than the current price.

Most likely they'll sell in tranches over the counter, rather than on exchanges.

If he bought that many bitcoins then for sure he is not gonna sell anytime soon. Probably he wanted to make sure he has enough for the future

We can only guess why he bought this large amount of bitcoins. But he will for sure not cash out suddenly. It's more likely he'll buy even more bitcoins.

cashing out of bitcoin ..... lol

Firstly, many of the wallets which have significant amounts of bitcoins are actually lost, so its unlikely they cash out at once.

Secondly, when huge bitcoin sales do take place, they do not typically occur via an exchange, and thus do not affect the market price.

Furthermore, selling the entirety of his holdings at once would be very difficult unless it was to an institutional investor, and they would be likely to take quite a hit on the rate, probably -20% or more at that volume.

You could guess that there is probably something out of ordinary about such case. First off, is some one who never watched his balance, or if he did, he would have an heart attack and probably next day be grateful and go to church or something.

Thanks! This answered my question! :D

Isn't it far more likely that this "guy's wallet" is actually the wallet of a business like Overstock? Look at how small the deposits are.  it's an exchange or casino or something.

it would definitely dip the market by about 20% at least into the red

That's not interesting as a story. If you want some sort of a hyped article, it's much cooler if you say that it's an anonymous trader or a hedgefund having bought that many coins. As stupid as most of the people here are, they take everything for granted just by reading a title. It just shows how low the average IQ here is.

In the same way, you could ask what would happen if;

Satoshi with his assumed 1,000,000BTC cashes out.
Mark Karpeles with his assumed 300,000BTC cashes out.
Roger Ver with his assumed 300,000BTC cashes out.
Jihan Wu with his assumed 200,000BTC cashes out.

Depending on the exchange, especially in case of Satoshi, it would cause a flash crash tanking the price down to sub $10 levels.

That was not the point of my question.
The hypothetical question was intended as a way for me (who is trading stuff for the very first time ever in my life) to learn about how the market would actually react, and what drives a given % increase/decrease in value, etc.

Its not necessarily a single person. It could be a large financial institution like a bank. It could be a large corporation. Apple is sitting on $90 billion dollars in surplus cash, last I checked. It is possible they invested $400 million of their disposable cash on bitcoin secretly as a hedge against potential devaluation of the US dollar. It is also possible that goldman sachs (which has sounded strangely positive on bitcoin lately) or another bank, hedge fund or another investment firm is buying up a "small" $400 mil stake in bitcoin the way an investor might buy gold in a high deficit/debt economy.

I don't know if we'll ever learn the true identity of the mysterious person or group who bought 96,651 BTC. But it is an interesting story for sure. The motive and story behind it will undoubtedly be very interesting as well if its ever publicized.

How many times do we have to debunk this stupid article before people will learn to use the search function.

The address belongs to the Huobi exchange (as can be seen here: https://www.walletexplorer.com/wallet/e8fb61953c163500?from_address=3Cbq7aT1tY), and it is simply one of their storage wallets.

He no longer has to sell the coins in the wallet itself.  He can employ the services of a financial institution to sell futures contracts with the wallet as his security on this speculative bet.   Or at least this happens all the time with stocks, companies continue to hold the voting rights on the company stock but engage in the market to speculate on the price itself.

Miners have the vote not the wallet in this case but I think its possible this wallet contents are already engaged in a wider business or distribution but its not exactly apparently just by looking at the transactions.   Considering possible fees its far more efficient to move his interest about by promissory notes, just like happened years ago with other assets.   Obviously gold being the most obvious example of a heavy object rarely moved physically as its completely replaceable in another place and only the note of credit or debit needs to be applied to peoples balance.

Put simply this wallet could just be an exchange type balance, I expect someone already knows the answer to this.  

 Opps I see the guy above knows exactly, I was right  :P   On the FLIP side people do fear large wallets like this can be seized by governments in unilateral moves against BTC, obviously not every country in the world is free or legally justified.

He would cause a nice dip that I would immediately buy into.

That's $900,000,000. He should sell Bitcoins and buy Gold and Silver or real estates. He will be a billionaire after 6 months.

Well, that just proof if Huobi decided to hit and run, he would be instantly be a billionaire.

that's a lot for me. maybe he sells only for investment business. and he will continue the funding for business in the real world.
the price of today's crypto is quite an ideal price for him. and not too greedy expecting to trade it even higher

If the guy suddenly decided to sell his Bitcoin then there are advantages and disadvantages. Advantage is he'll gain more fiat of course which he can spend for his getaway or other luxuries in life then disadvantage is BTC value will go down. If it dips, then it'll give a chance to other investor to buy BTC more since dips for investors are an advantage to buy BTC during a dip. After that BTC's value will go up again, leaving the seller with less money since he doesn't have BTC anymore that profits in time unless he spend the money wisely.

If this whale will sell his btc holdings, theirs nothing we can do about it. the price will lift down a little bit but btc still worth a thousands.

well if that happen the market for btc will go down. but in reality its hard to do that due to the cryptocurrency exchanger they always need gas. and it takes time for others to be approved especially on bigger amounts

Of course, if you bought 10,000 refrigerators, you'd need a house large enough to fit them all.  So they could build some sort of skyscraper mansion.  Oh, and not to mention the beer.  That's a lot of beer.

In a normally operating market, it makes sense to sell your positions into strength.  Flooding the market with a panic sell will absolutely crash the price, be it Bitcoin, bonds, or any other asset for that matter.  Supply goes up, demand remains fixed and actually is slightly falling due to the seller leaving the market, prices go down.  Then momentum trades kick in which causes further selling.

I've traded stocks and futures (not Bitcoin futures) on the long and short side.  I always preferred being long.

Best regards,
Ben

you say if the big whale stops, then the bitcoin price will hit big. I conclude from your writing that bitcoin is a manipulated value

means that large whales can control the value of bitcoin, does your perception justify that bitcoin is a value manipulation?
please give me an answer, is it true that bitcoin value can be manipulated by big whales or not?

The thing to always keep in mind is logic. Experienced traders do not risk their capitol to "crash the market". They act rationally and logically. With swings of $1000 per day there is absolutely no need to create volatility at great risk. It would be foolish to risk like that in this market. It is very easy money compared to stock, bond or commodity markets. Why introduce new risk?

A serious trader knows this is about percentages not the price of a bitcoin or how much you have. You could be trading $100 or $1,000,000.  You still make the same percentage.

There is nothing that we can do about it. That amount of Bitcoins is not much if he dumps it all in one day. The price will go back to normal in a month.

He cannot sell it in 1 day it will take a months or weeks but If this big whale cash out that Bitcoin will go down not so down and if selling the total supply is not deacresing He sell it to people so People who buy it is The new holder.

For me, If you want to spend the cash it will cause great vibrations through the crypto world. I also want to think if you already have a lot of bitcoin you can see how it can be used in the future and not just be crypto money for quick profit just like that. 8)

Another BTC address found with 60k of bitcoins:

https://blockchain.info/address/1LAnF8h3qMGx3TSwNUHVneBZUEpwE4gu3D

He should not Sell all the bitcoin suddenly in this way he can earn return,but the rate of return would be smaller if he sell it in parts.Suppose if he sold all his BTC on 6th Feb-18 when BTC price was $5982,and today the price is around $11800 now imagine the profit difference.So its not advisable to sell all your BTC in one,sell it in part and when price is high,so that you may get higher return.

Another part of this if he suddenly cashes out his BTC,surely there will be overall effect on BTC price,price would slightly go down,but it would not be in long run,it would be for some days.Conclusion we can draw here is that no any big whale would do such stupid things that would crash the market.

how do you know these are not exchange/corporate wallets?

one wallet could represent one million people and one person can represent a million wallets.

if we assume this is one person with all of the funds under their power then they would have a lot of liquidity issues if they wanted to sell all at once. for big traders it's a process of unrolling the line, which means unloading in chunks or gradually so that they don't rip the market down and get filled at terrible prices. for instance he could put all the funds on one exchange and hit the bid for all of it, but it would push the market down instantly to a lower and lower price, he may get filled $100 for his last btc; not a very elegant exit. big traders massage the market into their traps because they desperately need liquidity. big traders are working as many exchanges as they can at the same time for that exact reason. hell MM don't care what the price is.

they have very little incentive to hit the market with everything. the only situations i can think of is a fat finger or if bitcoin is fundamentally broken and no longer serves it's purpose.

I think this number is much better than total revenue, so it will not have a significant effect on bitcoin prices. If you look at the amount of bitcoin space many exchanges we have. You'll notice that many bitcoins are sold every day, but they do not seem to be significantly affected. 8)

The price is now the highest that it's been for 30 days.  If I was one of those big superwhales I'd sell now and then buy back at a lower price.  They'd make a lot of money doing that would they not.

If i had these bitcoins, i could never sleep, i guess, i would constantly check the account. I would be a paranoid :)

It is interesting that this might not even be one person, but an organisation, and for the benefit of the whole it would require to flourish the business, not go in doom and gloom.

i've thought about this, but if it's a hardware wallet they would have to physically break into your house or something on anecdotal evidence. that's pretty dystopian.

I'm getting crazy by checking out the wallet address and he mostly purchased those thousands of bitcoins on December last year.I'm thinking that this is the JP Morgan Chase but don't get me wrong as this is my opinion. Can you remember when Jamie Dimon spread that bitcoin is a fraud and then later on his company bought some?

If  that guy cashes his Bitcoin then it would be a regretful experience if he does it. Bitcoin is just warming it up.

If he cashes out. Nothing spoil people will buy it. And life continues. The price might not really shift.

Do not have what thing, he should be in the short term will not sell, sell it will only make the circulation of currency will be more, instead is a good thing, a lot of those who hold COINS are very bullish on the currency.

Wow this is guy is rich yes this will have an effect to the value of bitcoin if this guy sell it, it will add to the total circulating supply, how did you get the .57$ drop? the .57% of the current bitcoin circulation is 296041 btc? i want to know what is the computation of this thank you.

Yes there is a very significant risk if some of these whales began selling. I believe however that these guys are not stupid, they have been in and watched this market for a long time. If they want to or need to sell they will do it slowly over time.

Which is correct if he sell that though it will reflect to the current price and a huge dumped will happen, but still people around this chain will buy that and be happy as they really waiting for that to happen to have opportunity to earn more, I'm not in the position of saying what can be the outcome of any action coming from that amount of btc if in case the owner/owners will cash that out, maybe I'll be going to save some spare money to buy them so I
can have some part of it coming from a much cheaper price.

They are already doing it. If you compare the amounts being sold and bought at exchanges you'll see a pattern. Usually when there's a dump followed by a pump you have the same amount of coins like 5k or so sold at one day and bought back within a couple minutes a few days later.
The problem with big investors is they are afraid to move money around. If you had 10 million USD in cryptocurrency, would you risk keeping it on an exchange where those money can be hacked, or stolen by the exchange itself? Why would you want to have more if the value of your investment is growing anyway and you already have a lot of money? Many people had their money blocked on an exchange or had to write tickets and wait for them to process the withdrawal. Exchanges are the weakest link of the system.

if the cash 96651 btc cash out then prices will fall all of sudden

If this guy is crazy he can spoil the money or he can spend it so he can go down but if he gets mad at the mad hospital he will have a rich family so money will not go another.

For me, if he wants to spend the cash it will cause great movement through the crypto world. I would like to think if you have a lot of bitcoin you see how it can be used in the future and not just be a crypto currency for quick profit. 8)

People with that amount of BTC is not that stupid.
Think like they will keep it there for a very long time, or they will cash out it in batch. When they sell a lot, the BTC price will affected and the next batch will be lower then previous one. So, its a lost.
No, that kind of people will not that stupid  ;)
Even if they really dump those big number of Bitcoin, a lot of strong hand will thanks to him/ her because having another crypto shopping ;D

I'm afraid if this guy sells all his bitcoins, the market will fall: D. Look at the order book on bitfinex-96,651 BTC could lower the price to $ 3000!

Bitfinex isn't the only exchange. Somebody dumping 100k BTC there wouldn't cause the whole market to go below $3k. It would only crash finex and people seeing it would jump at the opportunity, knowing the other exchanges will trade much higher, especially the Asian ones, and that the market will recover very fast. This would end up being one of the best opportunities to make money and people would go from 0 to a millionaire overnight! Imagine how little 100k is compared to all the coins in the market right now. The real temporary dip all over the world after such event wouldn't be larger than $5000 and prone to a recovery to 10k within weeks. You'd be doubling your money on the same day and tripling it within months. If you believe this is going to happen start placing buy orders ;)

I think there is a limit of cashing out btc in a day so you can't just cash out all btc in one day. If ever that it is possible, markets will crash assuming that the transaction is fast. Bitcoin price will suddenly fall down but will recover in the following months. But can't really say.

yes you are right. this scenario had been happen several time so we know how to handle it.
we dont need to be panic and sell all of our coin, we need more patience because we know this scenario is repeated more than 2 times.

There is indeed a limit in cashing out actual fiat, but not with 'cashing out' by just selling your coins on a specific exchange market that eats through available liquidity, and the latter example is what OP was referring to.

The only limit there might be in place, is that an exchange could freeze the market and halt trading after a flash crash of 50% (trigger percentage could vary) occurred. It's a safety measure that's meant to calm the market.

That is a hell lot of coins stored in one wallet. One thing i am sure about that wallet is that he wont be selling all the coins at once,i really do think it is practically impossible to sell everything in a single exchange,the only chance is when he puts all the coins under market value across different exchanges and then he might be able to crash the market temporarily and the market will move forward. :)

If this guy cash out all of his bitcoin it is a big dump but i'm sure that he cannot easily sell that amount of bitcoin it might not affect the value of bitcoin that big maybe it goes down a little bit but market always bounce back.

I am not ER guy ... but why that guy did that ?

If we're gonna think about it in a logical way, a whale with that amount of BTC will not dump it in a single transaction or single day. They will not be able to have the maximum profit they could take out of their BTC. The most probable way they could do is dump their coin in small amounts during a bull run but not during a bearish market. You should know that a whale is always after the profit and will not probably take any loss by dumping 96k BTCs all at once.

Well, in the end, this is cryptomarket and most of what's happening right now is illogical in every way.  ::)

If could have a impact, but I think it will be very small and its for short term only. This is not 2013, way back the whales dumping can have significant effects, but since then, the ecosystem has changed a lot. No single whale can tip the balance on his favor and crash the market if that is his intention.

Yeah, I agree, the market will always bounce back from constant dumping, bashing the banks, and even regulations from government around the world.

Then the bitcoin will drop to the lowest value. No one wants to invest in bitcoin anymore. Bitcoin will disappear.

Though he holds huge volume of bitcoin I think he cannot easily convert it into fiat money since government will run after him for sure. Bitcoin is great in terms of bouncing back a lot of whales are out here and they will not let bitcoin down easily. But hopefully they will not sold everything he have cause it can really affect the market for sure little by little.

We can only guess why he bought so many bitcoins.

If this guy suddenly decides to sell his bitcoin, the BTC will go down.

It will be  a problem for him and all bitcoin users, he will become the government target to pay taxes and for the bitcoin users there will be a huge price drop, but it will be a chance for people to buy btc at lower price, the person will regret if he sell it all at once, if he is a good investors then he will sell it slowly

Is this real? If this is really Yes then it is amazing how much he feels so happy, but whether or not someone will eventually seek HIS lost possession. Very risky! If indeed i find it, i will surely keep it!

I was thinking on how was he able to get it ? 96,651 BITCOIN ? im confused and at the same time amazed

HE wont be able to cash all that bitcoin , because thre s a limit to how many u can withdraw

If this guy really is holding this amount of Bitcoin I think his main objective is to benefit from it. By cashing it one time he will not maximise his profit so he knows that to really take advantage of this amount of Bitcoin is to sell it slowly, make the price a little steady. Other way could be selling it by parts to the highest bidder.