Bitcoin Miner sales decreased by 50% in the last month
Data shows that Bitcoin miners have eased their dumping over the past month, now selling at only 50% compared to early September.
Bitcoin Miner net position change now has a value of 4.4k BTC per month
According to the latest weekly report from Glassnode, BTC miners were selling at a rate of 9k BTC per month at the beginning of last month.
The relevant indicator here is the “miner net position change”, which measures the total net amount of Bitcoin withdrawn or deposited by the miners during the last 30 days into or out of their wallets.
When the value of this calculation is positive, it means that miners have transferred coins out of the reserve within the last month. Such a trend, when extended, could be a sign of accumulation from their chain validators, and could therefore be bullish for the crypto price.
On the other hand, the indicator having a negative value suggests that this cohort’s wallets have lost a net number of coins recently. Since miners usually withdraw the BTC for selling purposes, this kind of trend can be bearish for the price.
Now, here’s a chart showing the trend in Bitcoin mining net position change over the last couple of years:
The value of the metric seems to have been red in recent days | Source: Glassnode's The Week Onchain - Week 40, 2022
As you can see in the graph above, Bitcoin mining’s net position change has been deeply negative for quite some time now. This suggests that the cohort has been in a dumping phase in recent weeks.
In early September, the indicator reached a peak when miners distributed their coins at a rate of 9k BTC per month. Since then, however, miners have slowed down, now only moving 4.4k BTC out of their wallets.
This is still significant selling pressure, but is still 50% less than at the beginning of last month.
Due to the bear market, the earnings of the miners have come under severe pressure, which has left them with no choice but to dump their reserves. But this latest trend of a decline in their distribution may suggest that their situation has started to ease a bit.
BTC price
At the time of writing, Bitcoin’s price is hovering around $20.1k, down 1% in the last week. Over the past month, the crypto has increased 1% in value.
Looks like the value of the crypto has surged up over the last day | Source: BTCUSD on TradingView
Featured image from Dmitry Demidko on Unsplash.com, charts from TradingView.com, Glassnode.com
