Key Points
- Bitcoin miners have sold over $27 million, raising questions about Bitcoin’s price sustainability.
- The selling pressure from miners could affect BTC’s next move, potentially leading to short-term price weakness.
Bitcoin miners have recently been selling substantial amounts of their holdings, realizing over $27 million in profits. This activity comes as Bitcoin (BTC) seems to be adjusting within a specific price range.
With such aggressive selling from miners, many are questioning the potential effect on Bitcoin’s next price move. Will this selling pressure limit Bitcoin’s price rise, or is the market capable of absorbing these liquidations?
Bitcoin Miners’ Profit Spike
Recent data shows that early Bitcoin miners have made over $27.2 million in profits as Bitcoin hovered around the $83,000-$84,000 range. This substantial liquidation phase comes after Bitcoin’s recent pullback from its highs above $90,000.
Historically, miners taking profits like this can suggest a short-term cooling period for Bitcoin’s rally, potentially leading to either consolidation or a retracement.
The miner net position change chart from Glassnode shows continued selling pressure, with outflows exceeding inflows. Miners seem to be reducing their holdings rather than accumulating, suggesting the possibility of near-term price weakness.
How Much BTC Are Miners Still Holding?
Despite the selling spree, Bitcoin miners still hold a significant amount of BTC. However, the rate of decline in holdings signals their outlook on price movements.
The data indicates that while some miners are taking profits, others might be holding onto Bitcoin in anticipation of another bullish run. If Bitcoin maintains its current support levels, a resurgence in buying interest could stabilize prices.
On the other hand, if miners continue to liquidate, Bitcoin might have difficulty breaking past key resistance levels, particularly near $87,000-$90,000.
Bitcoin was trading around $83,289 at the time of writing, with the 50-day moving average positioned at $87,400 and the 200-day moving average near $95,916. These levels serve as critical resistance points that Bitcoin needs to surpass to reclaim bullish momentum.
Immediate support was at $82,500. A breakdown below this level could lead to further declines towards $80,000. Key resistance stood at $87,000. A decisive move above this mark could trigger renewed bullish momentum.
With miner selling increasing, Bitcoin’s ability to maintain its price will be crucial in determining its next move. Traders should keep an eye on shifts in miner behavior, as continued sell-offs could stall Bitcoin’s upside, while stabilization might set the stage for a rebound.
