The post Bitcoin Miners Switch To Selling, Rally Ends Here? appeared on BitcoinEthereumNews.com.

On-chain data shows that Bitcoin miners have turned to selling recently, a sign that the asset’s price could be bearish. Bitcoin Miner Reserve Has Been On The Decline Recently As analyst James V. Straten explained in a post on X, the miners had accumulated for most of the year before this latest selloff. The indicator of interest here is the “miner balance,” which keeps track of the total amount of Bitcoin the miners are carrying in their wallets. When the value of this metric goes up, it means that the miners are currently receiving a net number of coins to their addresses. Such a trend is usually a sign that these chain validators are accumulating, which can naturally be bullish for the asset’s price. On the other hand, the indicator declining implies the miners are taking BTC out of their wallets. Miners make transfers like these when they want to sell, so the market could see selling pressure with the onset of this trend. Now, here is a chart that shows the trend in the Bitcoin miner balance over the past couple of years: Looks like the value of the metric has been going down recently | Source: @jimmyvs24 on X Note that the miner balance metric here says “minus Patoshi and Other.” This means that the indicator excludes the data for the original miner Patoshi (who is believed to be Satoshi, the cryptocurrency’s creator) and other entities that Glassnode hasn’t been able to label. The above graph shows that the Bitcoin miner balance has registered some downtrend recently, suggesting that some miners have likely been selling their coins. This trend is also visible in the data for the “net position change,” a metric that keeps track of the changes in the BTC miner balance. The indicator has turned negative recently,…

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Filed under: News - @ November 15, 2023 11:18 pm