Bitcoin Miner Outflows Decrease, Suggesting Easing of Selling Pressure

IconCryptoNewsTerminal Staff02 Jul, 2024

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Bitcoin Miner Outflows Decrease, Suggesting Easing of Selling Pressure

Bitcoin miners have noticeably reduced their selling pressure, potentially indicating a positive shift for the cryptocurrency's price. According to a recent report by Bitfinex, the amount of BTC transferred out of major miner wallets has significantly decreased, signaling a potential easing of miner selling pressure. This development could positively influence Bitcoin's price and lead to a resumption of the uptrend. Since the fourth Bitcoin halving in April, miners' mining rewards have been reduced by half, resulting in increased operational costs and older miners becoming less profitable. Consequently, miners have been forced to liquidate their BTC holdings to cover expenses. However, the recent decline in miner outflows suggests that this trend may be easing. The report suggests that once the market fully absorbs miner capitulation, a rally is likely to resume. Additionally, the decrease in miner selling pressure coincides with a decline in the Bitcoin network hashrate, indicating that inefficient miners have already capitulated.

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