Miners 'Dump' 3,400 BTC... Profit-Taking Pressure as Bitcoin Recovers to $80,000

▲ Bitcoin (BTC) Mining

Bitcoin (BTC) miners appear to have engaged in profit-taking by reducing some of their holdings since April. As Bitcoin showed a relatively stable recovery since early April, regaining the $80,000 mark for the first time since early February, a trend emerged where miners sold off their holdings, leveraging the price increase.

NewsBTC reported on the 9th, citing on-chain analysis from cryptocurrency analyst Ali Martinez, that the behavior of Bitcoin miners has changed in recent weeks. Martinez shared changes in the miner reserve metric via X (formerly Twitter), stating that approximately 3,400 BTC have moved out of miner-related addresses since April 7.

Miner reserve is a metric that measures the total amount of Bitcoin held by miner-related addresses. A decrease in this metric generally indicates that miners are distributing their held coins to the market to cover costs or secure profits. NewsBTC noted that this decrease in reserves coincided with Bitcoin's price rising from $72,000 to near its previous day's high of $82,790.

Martinez explained that Bitcoin was trading around $72,000 at the time, and then rose by about 15% to a recent high of $82,790. He analyzed that miners sold approximately 3,400 BTC during this process, likely utilizing the recent price expansion to cover operational costs or realize profits from multi-month highs.

NewsBTC pointed out that this trend of miner profit-taking could hinder Bitcoin's current recovery. With the recent upward trend in Bitcoin's price slowing down within a day, strong buying momentum must be maintained to continue an additional rally.

Profitability pressure in the mining industry was also cited as a background factor. NewsBTC explained that the profitability of the Bitcoin mining industry has been under significant pressure over the past few years, to the extent that some companies are shifting towards artificial intelligence data center businesses. In such an environment, price rebound periods can serve as an opportunity for miners to reduce their holdings.

As of the time of the original article, Bitcoin was trading at approximately $80,287, up 0.8% over 24 hours. The increase over the past 7 days was approximately 3%. NewsBTC stated that if miner selling pressure continues, it could put a strain on Bitcoin's recovery trend.

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