- Bitcoin miners face the heat as selling pressure rises
- Daily activity and velocity declines, however, retail investors show faith
терминалдарда miners were one of those sections of the crypto community who were impacted massively by the crypto winter, thanks to the selling pressure. According to the founder of Capriole Fund, Чарльз Эдвардс, the increase in miners’ stress could also paint a negative outlook for the king coin in the long term.
We are seeing the 3rd highest Bitcoin Miner selling of all time. The level of Bitcoin miner stress today is seconded only by 2 other occasions. The 2 other times? Bitcoin was just $290 and, get this… $2.10! pic.twitter.com/tKmKiAh8jO
- Charles Edwards (@caprioleio) November 30, 2022
окуу Биткойндун [BTC] баасын болжолдоо 2022-2023
A spike in miners’ pressure has always led to a price drop in the past. If the miner pressure continues to decline, there is a possibility that BTC’s prices would drop even further. Short sellers could thus take advantage of this opportunity.
The miner’s dilemma
One reason for the increasing sell pressure on miners can be the declining miners’ revenue. As can be seen from the image below, the miner revenue for Bitcoin declined significantly over the last two months.
This decline in revenue has been forcing miners to sell their BTC to make a profit. Bitcoin’s hashrate, on the other hand, continued to increase according to data provided by Агуа.
A growing hashrate indicated that it would take more computational effort for miners to mine Bitcoin. Coupled with growing energy costs, it would be very difficult for miners to stay profitable under these conditions.
Investors’ continued hope in Bitcoin
Despite these bearish signals, retail investors continued to show faith in терминалдарда. According to data provided by Glassnode, the number of addresses having more than 0.1 Bitcoin reached an all-time high on 1 December. Along with that, the number of addresses holding more than 10 монеталар also reached a 22-month high.
📈 #Bitcoin $ BTC 0.1+ монеталарды кармаган даректердин саны ATH 4,096,393га жетти
Previous ATH of 4,096,121 was observed on 30 November 2022
Көрүү көрсөткүчү:https://t.co/hZY8dBLpzX pic.twitter.com/hdzVvBYmY1
- glassnode эскертүүлөрү (@glassnodealerts) December 1, 2022
Unfortunately, large addresses holding over a thousand coins were observed to be exiting their positions.
чынжырдагы көрсөткүчтөр боюнча, терминалдарда witnessed a drop in activity. Its daily active addresses observed a decline over the past few days. Along with that, Bitcoin’s velocity also took a hit. Thereby, suggesting that the frequency at which BTC was being traded had declined immensely.
же жокпу, аны көрүш керек терминалдарда will succumb to the pressure and drop further in terms of price.
Ошентсе да, бирt the time of writing, the ratio of longs to shorts was 0.96, suggesting that there were more people shorting Bitcoin in the last 24 hours, Coinglass ылайык.
Source: https://ambcrypto.com/bitcoin-miners-continue-to-face-the-heat-but-whats-the-way-forward/