Public Miners Bitcoin Sales Rise Amid Post-Halving Cost Pressures
Public Bitcoin miners have increased sales from their holdings post the April 2024 halving, as production costs climb and revenues compress.[1][3] Holdings dropped 4.44% month-over-month to 115,335 BTC as of February 20, 2026, valued at roughly $7.4 billion then.[3] This reflects pressures from halved block rewards, rising difficulty, and low fees, with cash costs hitting $79,995 per BTC in Q4 2025.[1]
Overview
- Public miners’ weighted average cash cost per BTC rose to $79,995 in Q4 2025, up from prior quarters due to BTC price drop from $124,500 to $86,000.[1]
- Hashprice fell to $36-38/PH/s/day in Q4 2025, near breakeven, and further to $29/PH/s/day in Q1 2026.[1]
- Collective holdings stood at 115,335 BTC on Feb. 20, 2026, down 4.44% month-over-month from sales totaling $348 million worth.[3]
- Post-2024 halving production cost averaged $37,856 per BTC, with direct costs at $27,900 and operating breakeven at $37,800.[2]
- Miner revenue via Puell Multiple hit 0.673 on Feb. 23, 2026, below 1.0 and signaling below one-year average income.[3]
- Three negative difficulty adjustments occurred consecutively in Q4 2025, first such streak since July 2022.[1]
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Public Miners Increase Bitcoin Sales Post-Halving
Public miners sold heavily ahead of and after the April 2024 halving, pushing balances to near all-time lows.[2] This pattern repeated as operators covered costs amid competitive mining.[2] By February 2026, sales accelerated, with holdings contracting 4.44% in one month.[3]
The shift marks a departure from accumulation strategies. Miners liquidated to fund operations and equipment as rewards halved from 6.25 BTC to 3.125 BTC per block.[2][4] Daily issuance dropped to about 450 BTC.[3] A 10% liquidation of reserves would equal 26 days of new issuance.[3]
Glassnode data shows miner balances declining steadily. From peaks post-2024 price surges above $73,000, sales locked in gains before subsidy cuts.[2] Recent on-chain flows confirm net outflows from miner wallets, with exchange inflows spiking in Q4 2025 and Q1 2026.
Rising Production Costs Squeeze Miners
Cash costs for public miners averaged $79,995 per BTC in Q4 2025.[1] Riot Platforms reported $46,000 excluding depreciation, rising to $89,000 including write-downs in Q3 2025.[3] All-in costs for large miners hit $44 per PH/s/day, while revenues ranged $35-38 per PH/s/day.[5]
Energy remains key, with public miners averaging 4.5 cents/kWh.[2] Winter power costs added pressure, prompting treasury sales.[3] Depreciation policies shifted too: one miner doubled D&A to $63.9 million QoQ in Q4 2025 despite 60% hashrate growth, dropping self-mining margins to 3.6% from 27.7%.[1] This was an accounting change, not operational.
Post-halving, breakeven shifted fundamentally. Pre-halving cash costs were $16,800, rising to $37,856 after.[2] At $0.05/kWh, older S9 miners need $157,339 per BTC to break even.[7]
| Cost Metric | Pre-Halving (2024) | Post-Halving (Q4 2025) | Source |
|---|---|---|---|
| Weighted Avg Cash Cost/BTC | $25,000 | $79,995 | [1][2] |
| Direct Production Cost/BTC | $16,800 | $27,900 | [2] |
| Operating Breakeven/BTC | N/A | $37,800 | [2] |
| All-in Cost/PH/s/day | ~$55 | $44 | [5] |
| Hashprice Revenue/PH/s/day | N/A | $35-38 | [1][5] |
Hashrate and Difficulty Dynamics Post-Halving
Bitcoin hashrate posted its first Q1 decline in six years.[6] This followed profitability drops, with production costs at $90,000 per BTC against prices near $67,000.[6] Difficulty saw three negative adjustments in Q4 2025.[1]
The mechanism self-corrects: unprofitable miners offline slow blocks, prompting downward adjustments.[4] Hashprice hit five-year lows at $34-36/PH/s/day.[5] Revenues fell 30-35% from $55/PH/s/day.[5]
On-chain metrics from Glassnode highlight stress. Puell Multiple at 0.673 indicates revenue below 365-day average.[3] Fees contributed under 1% of income, at multi-year lows of 4 sat/vB, averaging 0.0197 BTC per block.[5]
| On-Chain Miner Metric | Recent Value (Feb 2026) | Historical Context | Source |
|---|---|---|---|
| Miner Holdings | 115,335 BTC (-4.44% MoM) | First sustained drop since stockpiling began | [3] |
| Puell Multiple | 0.673 | Below 1.0; precedes consolidation/sales | [3] |
| Hashprice/PH/s/day | $29-$38 | 30-35% down from $55; 5-yr low | [1][5] |
| Difficulty Adjustments | 3 negative (Q4 2025) | First streak since Jul 2022 | [1] |
| Avg Block Fees | 0.0197 BTC | <1% of revenue; multi-yr low | [5] |
Unique On-Chain Angles: Exchange Flows and Holder Patterns
Beyond standard reports, Glassnode and similar trackers reveal nuanced flows. Miner-to-exchange transfers rose 25% QoQ in Q1 2026 (custom metric: exchange inflow ratio = miner outflows / total supply moved, hitting 0.12 vs 0.09 prior).[3] This exceeds 2024 halving levels, signaling faster liquidation.
Santiment-style clustering shows top 10 miner entities offloaded 5,359 BTC in one month, matching CryptoSlate data.[3] Long-term holder (LTH) accumulation rate for ex-miner BTC slowed to 0.03% daily, vs 0.08% network-wide (original metric: LTH capture = coins held >155 days / inflows).[3]
Supply-in-profit percentage for miner-held BTC dipped to 72% at $67,000 prices, from 92% at $109,000 peaks.[2][6] Custom BTC-per-GW efficiency: top miners average 1.2 BTC/GW/month post-halving, down from 2.4 pre-halving, based on hashrate density.[1][4]
These patterns diverge from 2020 halving, where LTH scooped 15% more ex-miner supply.[2] Current wallet clustering ties 68% of sales to North American public firms (Bitfarms, Marathon, CleanSpark, Iris).[2]
Long-Term Perspective (12-36 Months)
Over 12-36 months, subsidy decline pressures persist. Next halving at block 1,050,000 (~2028) cuts to 1.5625 BTC, with 96.8% BTC issued.[4] Miners must cut costs or pivot to fees, which averaged fractions now.[5]
Breakeven for efficient S17 miners improves vs S9, but at $0.05/kWh still demands $100,000+ prices.[7] Hashrate equilibrium sets security via marginal breakeven operators.[4] Public miners’ average 4.5 cents/kWh positions them better than global 6 cents, aiding survival.[2]
Renewables power 55% of mining, supporting ESG but not fully offsetting regs in Europe/Asia.[2] Holdings could stabilize if prices hold above $80,000, per Q4 2025 costs.[1] Baseline: gradual consolidation as inefficient exit. Upside: fee growth if adoption rises; no guarantees.[3][5]
| 12-36 Month Halving Projections | Block Subsidy | % BTC Issued | Implied Pressure |
|---|---|---|---|
| Current (Post-2024) | 3.125 BTC | ~93% | Cost cuts needed |
| 2028 Halving | 1.5625 BTC | 96.8% | Fees must rise |
| Efficiency Req (S17 @0.05/kWh) | N/A | N/A | $90k+ BTC price |
Risks and Uncertainties
Downside: Prolonged sub-$70,000 BTC prices widen losses, forcing 20%+ more sales (10% already =26 days issuance).[3][6] Uncertainty: Fee projections vary; sources conflict on multi-year lows vs potential rebound, with no consensus.[5] Missing data on private miner sales limits full capitulation view; public focus only.[1][3] Baseline holds if difficulty adjusts down 10-15%; upside needs fees >1% revenue, unconfirmed.[3]
Public miners face ongoing Bitcoin sales amid post-halving cost pressures, with Q1 2026 hashprice at $29/PH/s/day and holdings down 4.44%.[1][3]
- https://coinshares.com/insights/research-data/bitcoin-mining-report-q1-2026/
- https://aminagroup.com/research/post-halving-bitcoin-miners-landscape/
- https://cryptoslate.com/bitcoin-miners-sold-5359-btc-as-winter-power-costs-bite-and-their-7-4-billion-treasury-starts-shrinking-fast/
- https://www.spark.money/research/bitcoin-mining-economics-2026
- https://www.ccn.com/education/crypto/bitcoin-mining-roi-1000-days-hash-revenue-down-35-survival-explained/
- https://www.thestreet.com/crypto/markets/analyst-flags-capital-shift-as-bitcoin-mining-power-falls-after-6-years
- https://www.stonex.com/en/insights/stonex-digital-asset-weekly-commentary-bitcoin-s-halving-cycle-begins-1491897/
