Coinbase cold wallet move’s possible market effect

11. January 2019 by Tamas Blummer

The observation of moves of HODLed coins is likely already a part of many professional Bitcoin trader’s toolkit in some form. Could therefore Coinbase’s reshuffle of their cold wallet have a market effect?

Now, with the Liveliness measure everyone has the tool to observe aggregate HODLer behavior. Let’s see how HODL and Bitcoin price moved during Coinbase’s reshuffle:

It seems, that however carefully executed, the reshuffle might have had a market effect, compounding on troubles that started earlier. Those running huge wallets should therefore inform the market in advance of such move.

Coinbase’s cold wallet move might have been heard by the market well before they bragged with their “quiet” execution on December 19. 2018. The Bitcoin blockchain is arguably the opposite of quiet.