Miners Feeling the Pinch
Bitcoin has been hovering above $60,000, but miners’ recent actions could shake things up. The halving, which reduced the block reward by half, has put miners in a tight spot.
Revenue Drop and Increased Pressure
Miners rely on rewards and transaction fees for income. The halving has slashed their revenue, and miners are starting to feel the pressure. Data shows a drop in the Bitcoin hash rate, indicating reduced mining profitability.
Miners’ Dilemma
With high operating costs, miners need to find alternative income sources. For many, selling their Bitcoin holdings is the only option. Two major miners, Marathon Digital and Riot Platforms, hold over $1.6 billion worth of BTC.
Network Fees Offer Relief
A spike in network fees before and after the halving has helped offset some operational costs. However, recent trading activity has led to a decline in network fee revenue, increasing the likelihood of miners selling their BTC.
Bitcoin’s Future
Bitcoin is currently trading at $61,888, down slightly in the past 24 hours. The next few months will be crucial in determining the impact of the halving and miner selling on Bitcoin’s price.
Factors to Consider
- Strong demand and large miners holding their BTC could support the price.
- Catalysts like Spot Bitcoin ETFs and whale accumulation could offset miner selling pressure.
- Bitcoin has a good chance of defending the $60,000 level.
