Miners sell 1,000 bitcoins in 24 hours

Bitcoin miners have parted with a good chunk of their reserves so far in May. Only in the last 24 hours, between May 24 and 25, there were sales of more than 1,000 bitcoins (BTC).

According to data from CryptoQuant, miners have already dumped 2,255 bitcoins so far in May 2023. The CriptoNoticias price index indicates that the amount is equivalent to USD 59.4 million at the time of writing this note.

The sales occur within the framework of a decrease in the reserves of the miners which started in August 2022. As seen in the chart above, since then the amount of bitcoins held by miners has gone down.

Beyond what the statistics indicate, the situation is different now compared to the end of 2022. At that time, the crypto winter forced miners to sell their reserves and even turn off or sell their equipment to survive. Only the big mining companies were able to fatten their coffers in such a context.

This year, the outlook is much more favourable. As reported in this newspaper, Bitcoin miners recently had million-dollar profitsthanks to the increase in transaction fees due to the frenzy over BRC-20 tokens and Ordinals NFTs.

Miners sell and invest, the price of bitcoin falls

As previously described, the fact that miners sell is not necessarily a negative in this scenario. In fact, several of them may be investing to accumulate more hashrate, considering that ASICS prices have also stabilized compared to previous quarters. In addition, several well-known brands announced the launch of new mining equipment recently.

Yes indeed, miners’ decisions appear to be affecting the price of cryptocurrency. The image above clearly shows how times of big miner sales coincide with precipitous declines in bitcoin’s market value.