Signs of capitulation: Bitcoin miners sell at a high pace, reserves at 2-year lows
The Bitcoin miners’ reserves dropped aggressively to June 2022 levels when BTC was trading below $20,000.
As of this writing, miners hold 1.8 million BTC, while Bitcoin trades at $66,800. This represents a relevant contrast from the 2.01 million BTC held a few weeks before March’s all-time high of $73,000, evidencing a sell-off as the maiden cryptocurrency consolidates in a 4-month price range.
Bitcoin mining is a highly competitive and high-cost business activity directly reliant on the leading cryptocurrency price action. Miners can often see themselves operating underwater amid extended bearish or consolidation periods, forcing some to capitulate from mining.
In particular, data retrieved from MacroMicro indicates this is happening right now, with an average cost of $83,668 per mined Bitcoin.
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