During the past few months, the cryptocurrency markets have been consolidated, with no thrilling bull movement or rally. The world’s largest cryptocurrency by markets cap, BTC, has been stuck below the $26,000 market price zone after dropping below $20,000 in May.
All the rallies recorded in June and July failed to get the giant cryptocurrency above the $26,000 zone. Resistance level stuck around the $25,000 zone abruptly ended the rallies. A newly published analysis has alleged that BTC miner has been selling off their holding and portfolios to stay afloat in the cryptocurrency markets.
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Over 14,600 Bitcoin Sold Off By Miners In The Markets
Earlier, a high-profile cryptocurrency software company, Arcane, released analytics depicting how BTC miners have been dumping their cryptocurrency holdings. The Norwegian-based company analysis revealed that the miners sold off the cryptocurrencies as soon as it was mined.
According to the report, the world’s largest cryptocurrency miners have no choice but to put off their holdings for sale to cover up their losses and mining costs. The sale proceeds are used to pay up their bad debt caused by the currency bearish situations of the markets.
Statistics show that over 14.6k BTC was sold off hastily by miners in June when the markets crashed in May. The following month, the markets began to rebound; however, the miners still sold over 6000 bitcoins.
Arcane crypto reports stated that some mining companies sold BTC 150% over their total mining in three months consecutively. The high-profile companies, Bitfarms, Core Scientific, CleanSpark, and HUT, were compelled to dump their mining as they had to pay up bad debts and fund their expansion plans.
Crypto Miners Currently In Bad Season
Cryptocurrency miners are in bad times and seasons following the extension of the never-ending winter season in the crypto markets. The bear season or steep decline in the crypto markets has continued to cause debt and loss of capital for miners.
2022 is virtually one of the worst years for BTC since its inception. Although BTC mining companies keep selling their holdings, they are still in the woods. Some large companies have lost up to $1 billion since the Q2 of the year.
This consolidation has caused much loss to Bitcoin holders, investors, buyers, and traders. According to crypto statistics and analysis, an average BTC holder, investor, and user would have lost over 40% of his holdings from January 2022 in the past few months.
The companies are compelled to sell their holding to pay for debt incurred during the dip, mining expenses, and lost internal capital. Bitcoin selling pressure has been rising, with companies disposing approximately 150% of their mining. The lesser the BTC price, the higher the selling pressure unless a reversal happens.