A recent analysis by cryptocurrency analysis firm CryptoQuant revealed that Bitcoin miners’ selling pressure has reached its lowest level in almost seven years.
This significant drop in selling pressure is reflected in the flow of Bitcoin from miners’ wallets to exchange wallets, which is currently at its lowest level since 2017.
Contrary to popular belief, miners actually sell BTC all the time. This is how new Bitcoins reach the market. The current shipment flow from miners to exchanges is at an average of 90 BTC per month, the lowest it has been in years.
Despite low selling pressure, miners’ revenues have increased over the last three months, reaching the highest levels of the year. This is a positive sign for the Bitcoin market, as miners are the only entity in the market that requires ongoing costs. They need to invest in electricity, maintenance and machinery to maintain their operations.
Miners’ behavior is always linked to the BTC price to a certain extent. The volume of BTC currently held by miners accounts for approximately 9.40% of the total Bitcoin circulating supply. In the analysis by CryptoQuant, experts ultimately point to a positive trend in the BTC market, with low selling pressure from miners and increasing revenues.
*This is not investment advice.
Read the full article here