Bitcoin Miners Selling Off Reserves as Price Consolidates
Data from the crypto analytics platform CryptoQuant reveals that Bitcoin miners have been taking advantage of the recent price surge in Bitcoin by selling off their holdings. Over the past ten days, approximately 6,329 Bitcoins, valued at around $307 million, have been sold by miners. This selling trend has been ongoing for a while, gradually depleting the miner’s reserve.
In January, miners offloaded 10,600 BTC worth $455.8 million in response to a drop in the BTC hashrate. In February, another intense depletion occurred with about $600 million worth of Bitcoin sold. While these moves may be necessary for miners to offset mining bills, they can have negative implications for traders in the market.
Impact of Spot BTC ETF and Halving
The ongoing selloff by BTC miners could potentially trigger a drop in Bitcoin’s price as investors may become uncertain about the intentions of these network validators. However, the price of Bitcoin could also continue its positive momentum due to other factors such as the spot Bitcoin ETF and the upcoming halving event.
Market analysts and experts are optimistic about Bitcoin’s price before and after the halving event. One analyst predicts an equilibrium price of $301,709 before halving and $603,418 after halving. Therefore, while miner actions may temporarily affect BTC’s price, it is unlikely to have a significant long-term impact.
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