Japan's Dormant accounts waking up finally

[fiulpro]

https://cointelegraph.com/news/japans-dormant-btc-trading-accounts-wake-up-as-bitcoin-price-rallies

If you guys do remember there was a survey conducted where the people holding Bitcoins for the long term said they won't actually sell their Bitcoins if the price never breaches 10k $ , they would rather die instead of selling.

Now with the recent rally of the price climbing up , the dormant accounts are waking up , especially in Japan.

According to the analysts , this specifically has the following reasons:
1) Price of Bitcoins breaking the resistance
2) Government paying stimulus around 930$ per household
3) Surge in the price of Gold
4) People wants to buy Bitcoins so they don't want to wait to make new accounts , therefore they are using their old accounts which were dormant since long
_______________________________________________________________________________ __

How it can affect us ?

1) Price might be affected if these accounts starts trading
2) Since some Investors are moving from Gold to Bitcoins this might mean start of a golden era for cryptocurrencies

_______________________________________________________________________________ ___

According to the source the trading volume is up by 2*/3* times this week.

[pakhitheboss]

How it can affect us ?

1) Price might be affected if these accounts starts trading
2) Since some Investors are moving from Gold to Bitcoins this might mean start of a golden era for cryptocurrencies

In my opinion it is too early to come into any conclusion. Bitcoin price prediction is never corrency and I think the price will go down in the next few day. Investors will book profit now and I do not think these dormant accounts will add any value to the existing price. 

[20kevin20]

Interesting for sure. I'm getting an increasingly strong feeling a wild BTC ride is on the way, and dormant addresses waking up is making me even more confident. Do addresses that have received BTC count as "dormant addresses" as well though, or is it just addresses that have not made any kind of txs in a while?

[philipma1957laptop]

Interesting for sure. I'm getting an increasingly strong feeling a wild BTC ride is on the way, and dormant addresses waking up is making me even more confident. Do addresses that have received BTC count as "dormant addresses" as well though, or is it just addresses that have not made any kind of txs in a while?

i think no withdrawals are what make it dormant

[LeGaulois]

Do addresses that have received BTC count as "dormant addresses" as well though, or is it just addresses that have not made any kind of txs in a while?

Just in case you confused, note that in the article what is defined as "dormant" are the accounts on the exchange platform that were inactive for a while, there is no mention to addresses.

But to anwser your question a BTC address is considered dormant despite the fact it still receives transactions. See for example the Top Dormant for 5 years Bitcoin Addresses and the last in dates. What matters is the last TX out

[crwth]

I actually saw their article in their Telegram channel, and I find it amusing that their thumbnail is like that, assuming that it's older people. It's quite funny, lol.

Anyways, maybe with these events happening, there would be eye-openers towards the government to really focus on developments on CBDC just like in the article. Then, it would be better for everyone. As for Libra, discussed in the article. They are possibly aiming high to be the future of money instead of just being a "token," and it could be labeled as a shitcoin.

[dothebeats]

The Japanese are crazy traders as well, so we might even attribute these price rises with some of them revisiting their trading accounts and starting to make something out of the current craze. I'm sure the South Koreans will also be a part of this newly-found hype around bitcoin and might even cause some massive pushes along the way. They are seeing something on this activity, that's for sure.

Anyways, maybe with these events happening, there would be eye-openers towards the government to really focus on developments on CBDC just like in the article. Then, it would be better for everyone. As for Libra, discussed in the article. They are possibly aiming high to be the future of money instead of just being a "token," and it could be labeled as a shitcoin.

I don't think governments will eye on CBDC rapid development just because crypto is surging recently. Well, some countries might find it as a sign but others will surely focus on other things rather than spend on R&D on CBDCs. The road to countries creating their own CBDCs is still a winding one with a lot of uncertainties, but we'll get there eventually, and the current events are surely not catalysts to it becoming a reality.

[davis196]

Those owners of dormant accounts are "waking up" only to sell the Bitcoins and take the profits.
Maybe a part of them will buy some Bitcoins,or maybe altcoins,but it's all about selling.This will have an impact over the Bitcoin price and it will push the bulls down and stop the rally.
This happens every time the price shows significant growth.The HODLers are waking up and start selling BTC,which eventually leads to a price correction.
Anyway,I prefer this situation on the market,rather than the July stagnant and "sleeping" Bitcoin market.

[coupable]

Interesting analysis. If we check the activities in creating/using exchanges accounts during all the last pumps, we would get the same result for sure. So this is not something surprising.
Op, how you related the revived accounts with the those who prefer to die before to sell their btc under 10k dollars?

How it can affect us ?

1) Price might be affected if these accounts starts trading
2) Since some Investors are moving from Gold to Bitcoins this might mean start of a golden era for cryptocurrencies

1- If they own the dormant addresses with a huge amount of btc, the price will get a heavy drop for sure.
2- Bitcoin is not made to replace gold. Each one has its utilities.

Anyway,I prefer this situation on the market,rather than the July stagnant and "sleeping" Bitcoin market.

I did really enjoy that stability. Not everybody is a trader or a btc hodler. We need a stable price for bitcoin, this would help in spreading the adoption.

[target]

Its time to wake up for a deep sleep because the bells are ringing. They'd be probably be trading more as its a good time and easy to profit by trading when the market is raging up.

The number of users going to be registering to exchanges are also rising. Its a decade old and crypto had already solidified its usefulness in the worse times, I also think this will really be a change going to the golden era for cryptocurrencies.

[Darker45]

If dormant accounts suddenly wake up because the price of Bitcoin has now gone past $10,000, what would be the most likely and convincing reason? It would be to sell most probably. It won't be buying for sure because Bitcoin has just had its long hibernation time under $10,000.

And so I guess the waking up doesn't have much to do with these:

3) Surge in the price of Gold
4) People wants to buy Bitcoins so they don't want to wait to make new accounts , therefore they are using their old accounts which were dormant since long

 
And especially not with this:

 2) Government paying stimulus around 930$ per household

 
This happened a few months ago already. If a portion of this dole-out actually went to Bitcoin, then it must have happened already in April or May. It is quite unreasonable to expect the same amount to be used to buy Bitcoin after a few months and only when the price of Bitcoin is rallying.

[bL4nkcode]

Those owners of dormant accounts are "waking up" only to sell the Bitcoins and take the profits.
Maybe a part of them will buy some Bitcoins,or maybe altcoins,but it's all about selling.This will have an impact over the Bitcoin price and it will push the bulls down and stop the rally.

Well, every rally wouldn't stop if someone's selling, each sells there's' always a counterpart to that, someone's buying it. And we just hit reach 12k, who knows it will take soar higher than this for the next days and months.

[thesmallgod]

And the price just dropped with a wide margin today. While it might too early to predict the influence of Japanese long time holders and those migrating from Gold to bitcoin, the report from crypto whale alert as shown that millions of stable coin are being pumped from different wallet to big exchange such as binance, huobi and the rest for the past 1 week which I believe this is part of the reason while the price is surging. If the long time holder with huge amount enter too, will might see alot of market correction because many of them will be taking profit.

[tabas]

It can also be a world record that many dormant accounts are waking up due what these account owners see to the market. They can't ignore that it's pumping as it didn't before and that made them start to get back to their accounts.
I think this is usual thing that happens if bitcoin goes like this and once it starts to get into bearish, they'll get back gradually being a dormant account again.

[Kakmakr]

The explanation is quite simple.... we have not seen a big spike in the Bitcoin price for a very long time, so people are reacting to the spike.. because they know it might not happen very soon again. (I think we were 12k last year in August)

So people who bought 1 year ago... could not make any profit for a year and most investments are judged over a 1 year (short term) period. I am saying "investment" because those wallets that are dormant are investments and not people buying bitcoins to use it as a currency. 

[Upgrade00]

The Japanese are crazy traders as well, so we might even attribute these price rises with some of them revisiting their trading accounts

Traders are not really determined by high or low prices as they can profit in both a spiking and a falling market as long as there's volatility, so I'm thinking these might not be traders but rather hodlers who have been holding on to their assets during the bearish period.

... a BTC address is considered dormant despite the fact it still receives transactions. See for example the Top Dormant for 5 years Bitcoin Addresses and the last in dates. What matters is the last TX out

I feel dormant is not the right phrase to use; strong hands or hodlers has a better ring as they were not out of the crypto space and may have been steadily accumulating in preparation for an increase in the price.

[Sanitough]

That's a good sign, they aren't trading like day traders but they are buying bitcoin to hold and wait for the significant increase of the price.

With more buying pressure, the only effect on the market is the price will be bullish, we know that Japan are a pro crypto country, so we have believers that could help to make this market bullish again, more pressure and it will eventually create a FOMO which what we need to see a bull run.

[yazher]

How it can affect us ?

2) Since some Investors are moving from Gold to Bitcoins this might mean start of a golden era for cryptocurrencies

I like this one since we are all waiting for the kick start of BTC in 2020, I guess this should be the right time for the BTC to be on the spotlight.
I mean this might become one of the reason for its price to rise in a matter of days if those people who are holding golds are gonna switch to BTC with full confidence to hold it for long. I can't wait to see the price reach $15,000 again this time and won't be going down for awhile after that.

[cabron]

Why would the wake up only to sell thier BTC. It would make sense to not wake their account up at all unless it reaches up to its ATH again.

Trading BTC while there is bullrun is profitable than having a bear market. If there is a time to be active in trading is this time and I'm almost sure this is the reason for their accounts to wake up.

[pixie85]

Why would the wake up only to sell thier BTC. It would make sense to not wake their account up at all unless it reaches up to its ATH again.

Trading BTC while there is bullrun is profitable than having a bear market. If there is a time to be active in trading is this time and I'm almost sure this is the reason for their accounts to wake up.

They said the opposite that these new accounts are waking up to start trading again.

The survey was done by a Japanese exchange where some old traders are coming back seeing the beginning of a new bull market.

They probably became inactive in 2018 following the crash of BTC from the all time high and the beginning of a bear market. Simply sold what they had and moved on.

I'm one of those people who wouldn't sell below 10 thousand dolars but I also don't walk away just because there's a bear market.