Bitcoin’s trip to a new all-time high ahead of $69,000 was short-lived and its price has since seen an 8.5% decline to around $63,100. At least some of the negative price action likely has something to do with a large chunk of decade-old bitcoin that was sold on Tuesday.

Onchain data from CryptoQuant shows that 1,000 bitcoin, worth around $69 million, was sent to crypto exchange Coinbase by an address that has been around since 2010, right before bitcoin reached its new record. When a large amount of coins are sent to a crypto exchange it is typically an indication that the sender intends to sell them and take profits.

In an interview with Coindesk, a CryptoQuant analyst attributed this activity to miners, implying that those who mined some of the first bitcoins in existence could finally be cashing out the block rewards they earned 10 years ago.

Analysts also believe that there isn’t enough liquidity in the market to absorb these large sell orders, particularly in light of the number of short-sellers waiting to enter at these levels.

“Considering that the exchange order book shows 5-10 bitcoins of liquidity for every $100 price change, a sell-off of 1,000 bitcoins is highly likely to trigger a significant price drop,” CryptoQuant analyst said to CoinDesk in the interview. 

The selloff triggered large-scale liquidations for those in leveraged long positions, with more than $1 billion worth of liquidations recorded on Binance alone, according to trading firm QCP Group.

“Despite the leverage washout, term futures are surprisingly still trading at a good premium to spot, making the cash and carry trade much more attractive,” said QCP analysts in a market note.

Meanwhile, spot bitcoin exchange-traded funds (ETFs) are seeing significant trading activity, with the ten funds recording a cumulative $10 billion in volume on Tuesday.


Bloomberg ETF analyst Eric Balchunas noted that the ProShares Short Bitcoin Strategy ETF, whose holders bet on a falling bitcoin price, saw the most volume on the day.