Bitcoin (BTC) has faced a tumultuous week, plummeting 4.5% to hit a monthly low of $65,000, a decline possibly exacerbated by intensified selling from mining entities grappling with reduced revenues post-halving.
Findings show that Bitcoin miners have significantly ramped up their selling activities.
Analysts noted a surge in BTC transfers from mining pools to exchanges, reaching a peak not seen in two months.
Notably, on June 9, btc.com miners alone transferred over 3,000 BTC to Binance, marking a stark increase in sell-offs.
The trend continued with substantial over-the-counter sales, including a notable transaction volume on June 10, underscoring miners’ efforts to liquidate holdings amid challenging financial conditions.
Major mining companies like Marathon Digital in the U.S. have mirrored this trend, with Marathon reportedly offloading 1,400 BTC in June alone, representing a substantial portion of its holdings and a notable increase from previous months.
The heightened selling pressure coincides with a sharp decline in daily miner revenues, now hovering around $35 million, down significantly from a peak of $78 million earlier this year.
This decline in revenue is primarily attributed to decreased transaction fees post-halving, with daily fees now averaging 65 BTC compared to 117 BTC pre-halving.
Despite the economic strain on miners, Bitcoin’s hashrate has remained resilient, showing only a marginal 4% decrease since the halving event in April.
This high hashrate underscores the robust computing power required for transaction verification and block addition, despite miners facing reduced rewards per block.
Analysts suggest that periods of low miner revenues coupled with a sustained high hashrate often signal potential price bottoms for Bitcoin.
The market now awaits whether BTC prices will stabilize or if further declines will trigger renewed investor interest and market activity.
