Cryptocurrency
There’s an “Unusual” Amount of Bitcoin Sellling Pressure From Miners
As reported on NewsBTC, “Bitcoin took a strong dive during Wednesday’s trading session. The asset fell from the $12,075 highs of the day prior to a local low around $11,200, marking a 7% correction. “The leading cryptocurrency remains near the lows as buyers have yet to step in en-masse. There seems to be some uncertainty […]
As reported on NewsBTC, “Bitcoin took a strong dive during Wednesday’s trading session. The asset fell from the $12,075 highs of the day prior to a local low around $11,200, marking a 7% correction.
“The leading cryptocurrency remains near the lows as buyers have yet to step in en-masse. There seems to be some uncertainty about the medium-term future of BTC as the price of gold flags seemingly due to the U.S. dollar bouncing.
“Investors are responding in kind. Data suggests that BTC miners are liquidating some of their tokens, suggesting that they perhaps see a stronger move to the downside in the near future.
“It may also be that miners may have triggered the collapse, as on-chain data shows that there were some strong miner outflows prior to the drop from $12,000.
Bitcoin Miners Are Selling Coins, On-Chain Data Shows
“Bitcoin miners are liquidating their coins en-masse according to data shared by CryptoQuant, a blockchain data startup. The company reported that ” #Poolin, #Slush, #HaoBTC have taken the bitcoins out of the mining wallets and sent some to the exchange.” The outflows of the past 24 hours collectively amount to over 1,500 BTC.
“It can be said that in selling these coins, these miners are anticipating a move to the downside.
Chart of BTC's recent price action with the outflows from miner pools shared by cryptocurrency and blockchain analytics firm CryptoQuant.
“This statistic comes as other on-chain data outlets have reported that the number of inactive Bitcoin on the blockchain has begun to increase.
“This means that longer-term holders are starting to move their coins, seemingly to begin the liquidation of that BTC for fiat or for other cryptocurrencies…”