- Miners may have sold BTC due to their reduced income.
- However, long-term investors had confidence in BTC.
Bitcoin [BTC] has managed to increase its price in the last 24 hours but is still struggling below the $60,000 mark. The recent price surge failed to change the sentiment of Bitcoin miners as they continued to sell off their holdings.
Will the latest miner sell-off push BTC to $54,000 again?
Bitcoin miners sell BTC
The bulls took control over the past 24 hours as they pushed the price of BTC up by more than 3%. At the time of writing, BTC was trading at $56,675.42 with a market cap of over $1.11 trillion.
However, miners still chose to sell BTC as the price gained bullish momentum.
According to AMBCrypto’s look at Glassnode’s data, the balance in miner wallets dropped to 1.8 million BTC. This suggested that miners did not expect the price of the king coin to rise further.
Source: Glassnode
We then checked miners’ earnings to find out what motivated them to sell. Interestingly, their revenues also declined in the recent past.
Source: Glassnode
The decline in miners’ balances and income also affected the blockchain hashrate. According to Coinwarz factsBTC’s hashrate has dropped in recent days. At the time of writing, the number stood at 712.57 EH/s.
Will the price of BTC be affected?
There is a chance that this miner behavior will impact the price of BTC as selling pressure generally results in price corrections.
Ali, a popular crypto analyst, recently posted tweet showing that if BTC falls to $54.2k, it will experience a liquidation worth $24 million.
Ttherefore, AMBCrypto checked more datasets to find other red flags.
According to our analysis of CryptoQuant’s factsBTS’s aSORP was red, meaning more investors sold at a profit. In the middle of a bull market, this could indicate a market top.
Read Bitcoins [BTC] Price prediction 2024–2025
However, the rest of the metrics looked bullish. For example, Bitcoin’s Binary CDD showed that the movement of long-term holders over the past seven days was lower than the average. They have a motive to hold on to their coins.
Source: CryptoQuant
Apart from that, things in the derivatives market also looked quite optimistic as the coin taker’s buy/sell ratio was in the green. This indicated that buying sentiment was dominant among futures investors.