Recently a Bitcoin whale moved an astounding amount of BTC, according to data from blockchain.com.
In fact, over 1.5 billion dollars were moved, making it one of the largest singular BTC migrations of the year.
The BTCs were transferred to unidentified wallets. The whale also shifted 23,542 BTC, worth approximately $505 million, and 50,562 BTC, worth almost $1.08 billion, in separate transactions.
The whale then transferred 4,000 BTC, 10,000 BTC, 10,000 BTC, 10,000 BTC, 9,642 BTC, 10,000 BTC, 10,000 BTC, and 562 BTC in a sequence of significant transactions.
Recently, cryptocurrency whales have begun to move their assets between wallets more regularly, just last week, several crypto whales transferred a total of $412,300,000 worth of Ethereum, Bitcoin, Dogecoin, and XRP in a single day.
Crypto in 2023 & Recession Fears
The year 2022 was unique in its own way.
After the disastrous economic deficits following our generation’s worst pandemic, countries all around found themselves in an extreme monetary deficit.
That meant that battling inflation was (and still is) the main goal of the leading economies all around the world.
The United States, alongside other leading economies like Germany, the U.K., and Australia – began imposing harsh interest-raising policies, at rates that were only previously seen during war times, or after a severe economic depression.
Those policies have a severe impact on risky assets, like the stock market and crypto.
When a country raises its interest rates, it becomes more challenging for businesses to borrow money for investments. As a result, their earnings will increase more slowly than forecasted by investors. All stock market segments are affected by this in some way.
A similar effect happens to cryptocurrencies. When interest rates increase, cryptocurrencies react to the decreased liquidity by decreasing in value, due to the unfavorable investing
The United States Federal Reserve – the government branch responsible for overseeing the interest rates policies of America – recently hinted at a slowing down of the interest-raising policies for 2023.
At the FED’s announcement, Powell went on to say that America’s interest’s could be reaching “restrictive territory”. He then went on to say that it will be important to “slow the pace of increases” in the near future. However, no official decision has been made by the FED so far.
According to Powell, when speed becomes less critical, the terminal level of interest rates and the amount of time the Fed will need to keep rates there take precedence.
Despite this, the head of the United States Federal Reserve stated that the Federal Reserve is not considering pausing its interest rate hikes, which he believes would be premature.
That means that despite not planning on significantly lowering interest rates, the Federal Reserve already plans on slowing down its interest policies in the future.
“Our decisions will depend on the totality of incoming data and their implications for the outlook of economic activity,” Powell said.