Bitcoin Miners Are Dumping Their Holdings En Masse — Bad Omen For BTC Price? ⋆ ZyCrypto - BitcoinEthereumNews.com
Since the concept of Bitcoin Bergbau came into being, Bitcoin miners have hoarded the proceeds of their activities. Because of their substantial cash flow, these miners were able to keep a significant amount of their stash from mining Bitcoin, while continuing to operate. Recent market trends, however, have caused a nosedive in the profitability of bitcoin mining, forcing miners to tap into their BTC reserves and sell to stay afloat. With Bitcoin now trading below $30,000 at press time, miners are finding it more difficult to hold BTC without jeopardizing their ability to fund their operations. Bitcoin mining profitability has plunged to its lowest levels since mid-2020, according to data from Bitinfocharts, with Bitcoin prices hanging around comparable lows since that time. As a result, a number of well-known bitcoin mining businesses have anounced that they have sold or will sell, some of their BTC holdings. Why Bitcoin miners are Selling According to Compass, miner flows to exchanges reached their greatest level since January, citing Coinmetrics data. The selling had been followed by a significant drop in Bitcoin values over the next month, with some relief in March. Bitcoin miners are offloading their holdings. (Credit: Compass Mining) Cathedra, a Canadian miner, was the most