Why do whales move Bitcoin around from wallet to wallet?

[Ridwan Fauzi]

Does it have something to do with the arbitration strategy? CMIIW

I just thinking about it, they will send bitcoin in wallet an exchange and move to another wallet exchange so as they will get profit to do that.

[Pipdips]

What are the best books that teach about exactly how the whales operate and manipulate markets?

The whales approach trading differently than normal traders and I'd like to learn more about their perspective.

[rima valen]

I read this today and it made me wonder what exactly is the purpose of whales moving Bitcoin around like this?

https://www.fxstreet.com/cryptocurrencies/news/bitcoin-whales-move-3-billion-in-just-six-hours-201907302301?utm_source=tradingview&utm_medium=rss&utm_campaign=254b9d70-7c4b-481b-a94e-aaac0c60ed14

Are they splitting the coin up into smaller wallets so they do not keep all their eggs in one basket?  Any other reasons why?

as far as I know, the pope moves from wallet to wallet, which is basically to be safe such as if a scamer wants to steal, does not run out of btc, and or maybe for his own personality

[DoublerHunter]

simply, in few words, to not get hacked

Nice reply. I think you are onto something...

^ Or just another reason is probably that is a coincidence, from the whale's wallet to another unknown wallet does not bring whales good benefit that probably manipulates the market. Nevertheless, the article has not shown about transactions of possible splitting transaction but I feel and doubt that maybe at that time the whale is ready to seel the bitcoin into half of his holding. I suspect that the reason for moving to another wallet that means ready to sell anytime because they know bitcoin surge at that time.

[Genamant]

i can only think few several reasons why first if i am a whale i would not want my Bitcoin to be in one wallet
second there is a possible pump plan.

[AjithBtc]

i can only think few several reasons why first if i am a whale i would not want my Bitcoin to be in one wallet
second there is a possible pump plan.

Well, when holding large volume funds different wallets were used. Another thing the market change happens with the circulation of bitcoin taking place with time. This way whales tend to manipulate the market with the funds being moved between wallets.

[SrinivasanP]

Frequently bitcoin exchanges, those areas where you can set up an account and purchase or sell bitcoins, has a wallet where you can store your bitcoins and accumulate them. When you purchase bitcoin on a market, you might want to make some bitcoin money in the wallet in the exchange and move some to another one of your wallets. Bitcoin wallets have really great advantages compared to traditional bank accounts, which can be created easily.

http://cryptograbby.com/

[Docnaster]

So now people control transactions from those who have a lot of bitcoins? do these people who have many bitcoins have no right to do whatever they want with their bitcoins? should they be saying what they will do with their own bitcoins? then comes to say that governments are controlling and we have to break free of government control, but keep monitoring and tell what people who have a lot of bitcoins should or should not do with their bitcoins

Are you not unnecessarily dragging a simple question?
It is a question made out of curiosity. Why be snarky and cynical in your response?
Honestly, it baffles my mind as well, why do they move around the large sums of btc. Surely it can't be for hack prevention. pvkeys are pretty secure and unhackable.
So what other reasons could there be?

[audaciousbeing]

So now people control transactions from those who have a lot of bitcoins? do these people who have many bitcoins have no right to do whatever they want with their bitcoins? should they be saying what they will do with their own bitcoins? then comes to say that governments are controlling and we have to break free of government control, but keep monitoring and tell what people who have a lot of bitcoins should or should not do with their bitcoins

Are you not unnecessarily dragging a simple question?
It is a question made out of curiosity. Why be snarky and cynical in your response?
Honestly, it baffles my mind as well, why do they move around the large sums of btc. Surely it can't be for hack prevention. pvkeys are pretty secure and unhackable.
So what other reasons could there be?

The problem is not even the individual that moves his btc from one account to the other because he is at liberty to do that and can move it for the most minute reason of getting a good value for money in one exchange site to the more important reason of trying to stay safe. Its his money, and he owes no one an apology to do that. The concern for me is for those who took it upon themselves to start tracking the movement of funds you were not informed of its movement so that an article can be written about it.

[virasog]

I read this today and it made me wonder what exactly is the purpose of whales moving Bitcoin around like this?

https://www.fxstreet.com/cryptocurrencies/news/bitcoin-whales-move-3-billion-in-just-six-hours-201907302301?utm_source=tradingview&utm_medium=rss&utm_campaign=254b9d70-7c4b-481b-a94e-aaac0c60ed14

Are they splitting the coin up into smaller wallets so they do not keep all their eggs in one basket?  Any other reasons why?

Even if you have 1 BTC only I will recommend you to put in two different wallets just in case anything bad happens. A wallet can he hacked ,compromised or anything beyond expectation can happen. So now the whales who have 1000s of BTC, do you think it is wise for them to keep them in a single place ? Absolutely NO.

[UmerIdrees]

I can understand that completely.  If I owned a large amount of bitcoin (never going to happen),  <Snip>

Well, I do hope you will own a large amount of BTC one day ...
You deserve it.

It's not like they are moving a few hundred bucks around the place. They are moving around more money to buy a small country.....

Which small country is on a sale  which you can buy with $3 billion ? lol
If whales have a large amount of bitcoins, their movement of bitcoin from one wallet to another will be of high amount and there is nothing unusual in it.

[docthusinh]

Another way to think is they try to hide their profit at the time of cashing out in USD, that's what I know since some places on earth charge tax on crypto earning such as the US and people can declare their coins tax base on transactions, thus moving around and play with the price actions will help (at the time the cash in your hand, your profit is 0 or less, so 0% tax charged). It's the same purpose of someone buy/sell old wallet addresses.

[LUCKMCFLY]

All this happens for a simple reason, you just have to imagine that we are those whales with very large money bills, and if you have a lot of money in a few wallets, every time you want to make a move they will follow up, to try to predict what relevant movement can happen in the market and take preventive measures.

If there are many wallets, they can direct their funds to different Exchanges to take strategic positions to execute their operations. That way it is very difficult to raise suspicions of the movements that the whales have planned.

[CryptopreneurBrainboss]

Have you noticed that this news of whales moving large numbers of bitcoin from wallet A to B or to Exchange etc mostly pops out during the bear market season. Not saying this movement doesn't occur during the bull market but that of the bear market mostly gets hype on by the media. Therefore if we were to substract all the positive obvious reason for this act (movements of coins by whales) like for security measures like "not putting all your eggs in one basket etc, I'll conclude, this movement are made just to cause or fuel existing FUD in the community.

When those big numbers are reported by this news media most times the market panic and react, the community immediately think someone (a whale) is about to dump his/her bags on the market, so the investors/traders begin to take precautions which is a outcome of FUD. Maybe this might just be coincidence but I have always observe price decline most time when this kinda news is circulation round the community.

[imstillthebest]

Have you noticed that this news of whales moving large numbers of bitcoin from wallet A to B or to Exchange etc mostly pops out during the bear market season. Not saying this movement doesn't occur during the bull market but that of the bear market mostly gets hype on by the media. Therefore if we were to substract all the positive obvious reason for this act (movements of coins by whales) like for security measures like "not putting all your eggs in one basket etc, I'll conclude, this movement are made just to cause or fuel existing FUD in the community.

no i dont see it but before i only see several positive news during the bull market  .  people are contented when the market is in bull run so they dont alarm too much but its the opposite will happen whenever the market is starting to dump   .  they dont know that if they scare the public by creating bad  news the price will dump more evenly due to panic attacks  . whales are like us , they also want to earn so they are moving coins from one site to the other  .

[GreatArkansas]

I just want to share this twitter account which can help you to observe some huge move transaction in Bitcoin.

Take a look at Whale Alert (@whale_alert): https://twitter.com/whale_alert

There, you can see some tweets about moving huge amount of Bitcoin from every addresses.

P.S. That twitter account also include some altcoins alert, not only on Bitcoin.

[ololajulo]

Have you noticed that this news of whales moving large numbers of bitcoin from wallet A to B or to Exchange etc mostly pops out during the bear market season. Not saying this movement doesn't occur during the bull market but that of the bear market mostly gets hype on by the media. Therefore if we were to substract all the positive obvious reason for this act (movements of coins by whales) like for security measures like "not putting all your eggs in one basket etc, I'll conclude, this movement are made just to cause or fuel existing FUD in the community.

If they have to move the large amount of coin for security reason and at end of the day the world is watching and noticed, Do we still think the security reason must have been achieved?

[CryptopreneurBrainboss]

If they have to move the large amount of coin for security reason and at end of the day the world is watching and noticed, Do we still think the security reason must have been achieved?

The security here has nothing to do with the general public been able to track/monitor their fund as they can easily avoid that by making use of bitcoin mixers to break the transaction between their sending and receiving addresses. The security here, has to do with not putting their egg in one basket (I.e not storing all their bitcoin in a particular wallet). That way incase of any misfortunes they won't be totally affected.

To my understanding most whales aren't usually the type that stay hidden. They love the attention they get, that's why you see most of the so called crypto influencer (sometimes whales) declaring openly the amount of bitcoin they're holding while the whales that stay anonymous don't use mixers to hide their transaction. They leave them traceable to get the general public attention.

[Lanatsa]

If they have to move the large amount of coin for security reason and at end of the day the world is watching and noticed, Do we still think the security reason must have been achieved?

The security here has nothing to do with the general public been able to track/monitor their fund as they can easily avoid that by making use of bitcoin mixers to break the transaction between their sending and receiving addresses. The security here, has to do with not putting their egg in one basket (I.e not storing all their bitcoin in a particular wallet). That way incase of any misfortunes they won't be totally affected.

To my understanding most whales aren't usually the type that stay hidden. They love the attention they get, that's why you see most of the so called crypto influencer (sometimes whales) declaring openly the amount of bitcoin they're holding while the whales that stay anonymous don't use mixers to hide their transaction. They leave them traceable to get the general public attention.

I'm believing the same thing that majority of them don't really mind too much to make themselves anonymous.What would be other things that can be done if some whales addresses being discovered out? None.

Public can see on how funds do moves but tracing up everynow and then would be a tedious task and a pointless one.I do agree about getting public attention which is definitely true but it depends because whales doesn't have the same personalities on how they do show-off or not with their current holdings.

[wxa7115]

I read this today and it made me wonder what exactly is the purpose of whales moving Bitcoin around like this?

https://www.fxstreet.com/cryptocurrencies/news/bitcoin-whales-move-3-billion-in-just-six-hours-201907302301?utm_source=tradingview&utm_medium=rss&utm_campaign=254b9d70-7c4b-481b-a94e-aaac0c60ed14

Are they splitting the coin up into smaller wallets so they do not keep all their eggs in one basket?  Any other reasons why?

There are many reasons of why whales could do something like this, the most obvious is that they could feel that there was a chance that their private keys were compromised at some point in the past and they decide to move their coins from an address that could be compromised to a new address that doesn't have that problem, as you say it is also possible that they decide to split their coins to different addresses in order to protect themselves in the case a hacker can obtain one of their private keys.

Now it is also possible that they are doing this in order to create excitement over bitcoin because as we know if someone moves such a huge amount of money then that is bound to make the news.