Sun 30 Jun 2024 ▪
3
min of reading ▪ by
A wind of change is blowing over the bitcoin market. Miners seem to be adopting a new approach in response to recent challenges. Recent data shows a decrease in BTC sales by these actors. A new strategy that could herald a phase of consolidation and recovery for the leading crypto.
Bitcoin miners reduce their sales
The selling pressure from bitcoin miners, which had heavily weighed on the market in recent months, is finally showing signs of easing. According to a recent analysis from CryptoQuant, miners are significantly reducing their bitcoin sales, a change that could mark a significant turning point for the crypto market.
Last April’s halving reduced rewards from 6.25 BTC to 3.125 BTC per mined block. This event made several mining operations less profitable, forcing miners to sell more bitcoins to cover their operational costs. For example, Marathon Digital Holdings, one of the largest bitcoin mining companies, sold 1,400 BTC by June 10, compared to only 390 BTC for the month of May.
Fewer bitcoin sales by miners: what effects on the price of crypto?
The reduction in bitcoin sales by miners could impact the dynamics of the crypto market. Indeed, miners have long been key players in price movements, with their massive sales often exacerbating market downturns. Now, with a notable decrease in selling pressure, the market may more easily absorb the remaining bitcoins, thereby reducing short-term volatility.
The latest data from CryptoQuant shows a decrease in bitcoin transfers from miners’ wallets, indicating increased retention of their assets. This downward trend in sales is partly due to better cost management and optimization of mining operations. Faced with a halving of mining rewards, miners had to adapt their strategies to maintain profitability.
By retaining a larger portion of their bitcoins, they seem to be betting on future price appreciation, which could stabilize the market in the medium term. If this trend continues, it could strengthen investor confidence and contribute to a more stable and predictable market environment.
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Diplômé de Sciences Po Toulouse et titulaire d’une certification consultant blockchain délivrée par Alyra, j’ai rejoint l’aventure Cointribune en 2019.
Convaincu du potentiel de la blockchain pour transformer de nombreux secteurs de l’économie, j’ai pris l’engagement de sensibiliser et d’informer le grand public sur cet écosystème en constante évolution. Mon objectif est de permettre à chacun de mieux comprendre la blockchain et de saisir les opportunités qu’elle offre. Je m’efforce chaque jour de fournir une analyse objective de l’actualité, de décrypter les tendances du marché, de relayer les dernières innovations technologiques et de mettre en perspective les enjeux économiques et sociétaux de cette révolution en marche.
DISCLAIMER
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.
