18000 Bitcoin Moved to BitMEX Wallet

15 August, 2018

Only hours before Bitcoin made a recovery from its dip below $6,000, an enormous number of coins flew from 17 wallets to one that is associated with BitMEX.

At 4:50 AM New York time, a transaction involving 10 BTC went to a BitMEX-associated wallet. It didn’t seem like much, but less than half an hour later, another 16 wallets sent 17,990 BTC, bringing the suspected BitMEX wallet’s balance to a grand total of just a hair over 18,000 coins.

The dollar value of these coins sits right now at around $114 million.

This particular event started a small firestorm on Twitter, with users speculating that this was, in fact, a whale transferring a large amount of money to the exchange or that this is an attempt at market manipulation on BitMEX’s part.

This might not be the case, however, as it is kind of typical for exchanges to put large amounts of coins into cold storage wallets, locking them down for a worst-case-scenario situation. We’ve seen this kind of behavior back when Bithumb transferred an enormous amount of coins from various wallets inefficiently by paying 0.1 BTC transaction fees.

At that time, the transaction fee’s dollar amount would be somewhere around $661. The activity of the exchange in response to its breach actually clogged up the Bitcoin network, causing a slight increase in unconfirmed transactions.

It is also important to note that although most of the wallets associated with BitMEX have the “3BMEX” prefix, this activity may have nothing to do with the exchange. Considering the large volume of coins involved in the transaction, however, it would be a reasonable assumption.

Aside from the possibility that the exchange is consolidating coins to a cold storage wallet, it could also be providing liquidity for its trading platform. Either of these conclusions could be likely, considering that it just recently posted another record-breaking trading volume of over 1 million BTC.

The speculative assumption that BitMEX is attempting to manipulate the market is a bit outlandish, considering the fact that 18,000 BTC barely reaches 0.1% of all the coins in circulation.


Source link   Crypto currency: Bitcoin


Investing Tips For Crypto Bear Markets

Investing in cryptocurrencies can be overwhelming and difficult, especially during periods when a bear market controls the prices. To deal with it, let's discuss...

Block Show Asia 2018 report

Singapore has welcomed guests for another important crypto-event. The exhibition Block Show Asia 2018 brought numerous business contacts for LH-Crypto. The company presented new products...

Bitcoin is 43% More Profitable to Mine

When Craig Wright formed an alliance with CoinGeek founder Calvin Ayre to launch a hostile takeover of the Bitcoin Cash (BCH) network, the two men predicted that their BCH...

FIBO Group increases leverage for cryptos

FIBO Group is glad to announce that the 3rd of December 2018, the leverage for all the tradable cryptocurrencies shall be increased to 1:10. The new leverage shall allow you to...


Second Largest Drop of Bitcoin Mining

The crypto market's prolonged decline has finally begun to manifest in the bitcoin mining industry, which had at times seemed impervious to falling prices but is now...

Long Time to Reach All-Time High Again

Throughout the past eleven months, the Bitcoin price has dropped from $19,500 to $3,000, by nearly 85 percent. The dominant cryptocurrency fell by 85 percent on average...

Bitcoin is a bubble but appropriate for foreign missions

Russian Economic Development Minister Maksim Oreshkin has stated that while bitcoin has deflated like a soap bubble, it has impacted the world...

Crypto Market Loses $6 Billion

More than $6 billion was wiped out of the cryptocurrency market as Bitcoin (BTC), the most dominant cryptocurrency in the market, recorded a loss of 8.6 percent from $4,500 to $4,110. On fiat-to...