Thing is, is that Satoshi can't move his coins without the market collapsing completely. People would argue other wise, but that's the problem with a coin (same with litecoin) having poor amount of fungibilty. If anyone can see what goes in and out of Satoshi's wallet, then when he moves it somewhere else, they will automatically assume the worst and think he/she/they/it is going to completely dump everything and crash the price which causes uncertainty.
So in other words... no, even if that entity still exist on this planet and has the ability to sell off those coins, I don't think Satoshi would until Satoshi wants to "kill" bitcoin. Because there isn't as big of a holder as a million litecoin (I don't think at least), there still remains a problem of fungibility.
So essentially you are dealing with 20mil bitcoins instead of 21mil
Yes, but in another thread I wrote about what I would do if I were Satoshi. I would not touch the coins until the entire world has integrated into Bitcoin and built a dependence. For example, how we have become dependent on Google and if they shut down their search algo for a year we would all be screwed/feel the effects. We can all watch the coins in his wallet true, BUT if he only moved like 1000 BTC from one wallet to another 10 years from now I REALLY don't think people would freak out much. It would definitely catch attention and be all over the news, but to say the entire network would implode overnight doesn't seem realistic either. I think it depends on what he actually did and how he did it.
To say that he will never touch the coins is foolish. Hording that many would not occur for no reason (there is future intent) because he could have funded Bitcoin core devs (before disappearing on us). Andreas has even stated many times that the original Bitcoin core code was a hairball and had to be fixed (so Bitcoin is a collective effort). He's clearly more intelligent than your average person and has extensive knowledge in SOOOO many fields (IE game theory, economics, history, cryptography, programming etc etc). Satoshi also might be a think tank (group of people) rather than just one or two men, so keep that in mind as well. Private keys are probably triple encrypted in deep deep cold storage right now and he clearly doesn't need the money to live for the moment.
Regardless, the stash whether moved or not is an Achilles heel for the network. If he's dead then BTC essentially has a 20MM coin limit... lol, but believe me he would have a multisig inheritance structure in place for the coins.
Your response has demonstrated to me that this is an unknown variable. I can't confirm whether he is dead or not... what is intentions are... and what he will do in the future...
An analogy for this would be a community building a rocket ship to the moon with a giant "backdoor" at the base of the rocket. We don't know what that backdoor does or if it will ever be used, but we ignore it and we all keep working on this rocket and hope for the best... ? While there is another rocket sitting right next to it without that "backdoor" and 4x the capacity then everyone poop poos it...