On-chain data shows Bitcoin miners have continued their selling as outflows from their wallets have once again spiked up.
More Than 2.5k BTC Flows Out Of Bitcoin Miners’ Reserve
As pointed out by an analyst in a CryptoQuant post, BTC miners from Poolin look to have sold big over the past 24 hours.
The “miner outflow total” is an indicator that measures the total amount of Bitcoin moving out of wallets of all miners.
When the value of this metric surges up, it means miners are taking some coins out of their reserves at the moment.
Since miners usually withdraw coins from their wallets for selling on exchanges, such a trend can prove to be bearish for the crypto’s price.
Related Reading | Public Bitcoin Miners Struggle To Keep Up With Difficulty As BTC Production Declines
On the other hand, low values of the outflow suggests miners haven’t been showing much movement lately. This trend can be either neutral or bullish for the value of the coin.
Now, here is a chart that shows the trend in the Bitcoin miner outflows over the last few days:
The value of the indicator seems to have spiked up recently | Source: CryptoQuant
As you can see in the above graph, the Bitcoin miner outflow observed some high values during the past few days.
This may mean that in response to the crash in the price of the coin, miners have been selling some of their reserve.
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The spike in the last 24 hours was larger than all the earlier ones, showing that miners aren’t slowing down their selling just yet.
The outflow chart for the mining pool Poolin suggests that miners belonging to this group might be behind the largest spikes.
Looks like miners withdrew large amounts from the Poolin reserve over the past couple of days | Source: CryptoQuant
At the time of writing, Bitcoin’s price floats around $20.6k, down 30% in the last seven days. Over the past month, the crypto has lost 31% in value.
The below chart shows the trend in the price of the coin over the last five days.
The value of the crypto has looked to be just hanging above the $20k mark over the last few days | Source: BTCUSD on TradingView
Just a few days ago, Bitcoin observed a big crash where the price touched as low as $20k. So far since then, the coin has held above this level.
However, the crypto seems to have been moving sideways just above this mark so it’s unclear whether the level will continue to hold or if it may start to break down.
Featured image from Donna Ruiz on Unsplash.com, charts from TradingView.com, CryptoQuant.com