Bitcoin has experienced a significant amount of selling pressure in the past week, leading to a decline in its value. According to data from CoinGecko, the premier cryptocurrency has dropped by nearly 5% over the past seven days, reaching its lowest level in almost a month on June 14th. A recent post by crypto analyst Ali Martinez suggests that Bitcoin miners have been actively selling their holdings on the open market, with more than 1,200 BTC (worth around $80 million) being offloaded in a single day. This increased selling activity by miners may have contributed to Bitcoin’s recent correction to $65,000, as observed on the blockchain.
The decision of miners to sell off their coins is linked to diminishing revenues following the halving event. With reduced transaction fees and persistently high network hashrates, miner incomes have been on a downward trend in recent months. CryptoQuant’s weekly report also suggests that sustained low revenues and high hashrate could indicate a potential market bottom, signaling a possible stabilization or upward movement in the Bitcoin market.
In addition to miners, Bitcoin whales – holders with between 1,000 and 10,000 BTC – have also been contributing to the selling pressure. Data from Santiment reveals that whales have sold 50,000 BTC (approximately $3.3 billion) in the past 10 days, further influencing the price of Bitcoin. Despite the recent dip to $65,000, Bitcoin is showing signs of recovery, with its current value at $66,266, reflecting a slight 0.7% decline in the past 24 hours.
The recent selling pressure on Bitcoin, fueled by both miners and whales, has led to a decrease in its value over the past week. This trend is indicative of the market dynamics influenced by factors such as declining miner revenues and high network hashrates. While the short-term outlook may be bearish, the long-term implications suggest a possible market bottom and stabilization, hinting at a potential upward movement in the Bitcoin price in the near future. It remains essential for investors and traders to monitor these on-chain developments closely to make informed decisions regarding their Bitcoin holdings.