- Bitcoin miner earnings reflect BTC’s improving state, but slow phases are expected.
- Bitcoin miner sentiment is improving in favor of the upside.
Is Bitcoin Entering Another Low Volatility Phase? That could be the case now Bitcoin miner revenues are rising. This is in contrast to what we have seen in recent months where Ordinal Inscriptions fueled robust growth in miner revenue.
Is your wallet green? Check out the Bitcoin Profit Calculator
Glassnode research revealed in the past 24 hours that the Bitcoin miner revenue from fees fell to a 4-month low. Ordinal registrations and volatile demand previously drove fees higher due to more market activity, thus more income for miners. This was particularly the case in May and June.
📉 #Bitcoin $BTC Percentage of miner income from fees (7d MA) just hit a 4-month low of 2.075%
View statistics:https://t.co/NphJIZNcsL pic.twitter.com/3LsX5UniQh
— glassnode alerts (@glassnodealerts) July 10, 2023
Mining income has traditionally been a healthy indicator of market activity. But can be even more useful when combined with other miner data. For example, it can be combined with miner flows and miner earnings to determine miner sentiment. So, what is the current status of these stats?
Miner activity is improving from June lows, but miner flows indicate that…
Miner earnings shot up again in late May and early June after an earlier downward slope. This peak confirmed a bit of a change in sentiment, but miner reserves are down slightly from June highs. However, it was worth noting that miner reserves are now above the level of early March.
Source: CryptoQuant
While Bitcoin miner flows maintain healthy levels compared to recent months, miner flows have shrunk. Both inflows and outflows of miners were at monthly lows. Nevertheless, it was worth noting that the outflow of miners was slightly higher than the inflow at the time of writing.
Source: Cryptoquant
So far, we can conclude that miner flows are low enough to have no impact on current levels. Perhaps an indication that Bitcoin’s current level and prevailing market conditions do not necessarily indicate a lack of confidence. On the contrary, it reflects a return of some confidence since June. In other words, the current miner data suggests that miners tend more towards the hodling side.
How much are 1,10,100 BTC worth today
Perhaps the above findings are due to the recent accumulation we have seen in the case of Bitcoin. Especially from institutions. As such, we have seen a decline in the amount of BTC on exchanges. Glassnode data recently revealed that Bitcoin balances on exchanges have now fallen to a 5-year low.
📉 #Bitcoin $BTC Balance on exchanges just reached a 5-year low of 2,251,571,825 BTC
The previous 5-year low of 2,251,575,975 BTC was observed on July 8, 2023
View statistics:https://t.co/9vOOAmwh32 pic.twitter.com/NYZDoH46J3
— glassnode alerts (@glassnodealerts) July 10, 2023
Lower stock exchange balances reflect the state of healthy accumulation that has prevailed in recent weeks. While these developments have fueled a recovery above the $30,000 price range, it doesn’t necessarily guarantee the sustainability of these levels.