Bitcoin Miner Outflows at 11-month High After Market Rejects $30K

Share This Post

Bitcoin miner outflows have reached their highest point in almost a year as BTC struggles to capture $30,000.

Glassnode’s Bitcoin Miner Outflow Multiple, which tracks the ratio of BTC moved by miners to the amount mined, has reached an 11-month high of 1.104. Back then, BTC was collapsing from a similar valuation to below $19,000.

The outflow metric doesn’t explicitly track funds sent from miners’ addresses to crypto exchanges — which might indicate sales. Still, outflows serve a rough guide for their sentiment: more outflows suggests less holding overall.

Bitcoin has struggled to push and hold above $30,000 for over the past six weeks. BTC is about flat over the day, hovering at $27,680, having slipped around 4.2% across the past five days.

Proof-of-work miners are rewarded with BTC for spending electricity to validate transactions. Higher energy costs, market fluctuations and the need to cover operational expenses could all be contributing to increased outflows

Historically, miner selling pressure is often associated with short-term price corrections, as increased supply on the market can lead to temporary imbalances between supply and demand.

That’s best reflected in outflows’ previous high last year, when bitcoin fell as much as 30% across eight days in June.

Publicly-listed Bitcoin miners are indeed opting to sell more of their mined crypto, as opposed to more stoic holding strategies.

But Bitfinex in an analyst note cited Bitcoin’s recent hashrate record as reason to be hopeful over the short term, as it signals it “miner confidence in the future value of Bitcoin.”

Get the day’s top crypto news and insights delivered to your email every evening. Subscribe to Blockworks’ free newsletter now.

Want alpha sent directly to your inbox? Get degen trade ideas, governance updates, token performance, can’t-miss tweets and more from Blockworks Research’s Daily Debrief.

Can’t wait? Get our news the fastest way possible. Join us on Telegram and follow us on Google News.

Bitcoin Miner Outflows at 11-month High After Market Rejects $30K is written by Sebastian Sinclair for

Related Posts

Fantom: Revolutionizing Blockchain Technology

Fantom, often abbreviated as FTM, is a decentralized blockchain...

Bitcoin halving shows new users that ‘code is ultimately the law’ in crypto

As the Bitcoin (BTC) halving marked another major milestone...

Yuga Labs Burns 14% of HV-MTL Supply After Faraway Acquisition

Recently, Yuga Labs, the creator of the popular Bored...

Spotting Cryptocurrency Scams: Red Flags and Warning Signs

With the rise of cryptocurrencies, the number of scams...

Web3 Watch: Someone at Adidas likes crypto culture

As NFTs boomed and Meta went all-in on the...

Splinterlands Releases Promo Cards for Bitcoin Halving Event

Splinterland’s New Reward System and Glint StoreIn addition to...
Ethereum (ETH) $ 3,204.92
Bitcoin (BTC) $ 66,302.76
Tether (USDT) $ 1.00
XRP (XRP) $ 0.554209
BUSD (BUSD) $ 1.01
Cardano (ADA) $ 0.504952
Dogecoin (DOGE) $ 0.160607
Litecoin (LTC) $ 85.22
Solana (SOL) $ 156.83