Bitcoin Miner Supply Sent to Exchanges Fell to 12-Month Lows in Q2 2020

Bitcoin Miner Supply Sent to Exchanges Fell to 12-Month Lows in Q2 2020

Bitcoin miners curtailed their supply to exchanges to the lowest level in 12 months during the second quarter, revealing their long-term bias on the cryptocurrency. 

The daily miner selling activity, as measured by the percentage of sent to exchanges, fell to a 365-day low of 15% on May 20, according to data provided by . The metric remained in a declining trend throughout the April to June period.

Bitcoin miners operate on cash and are constant sellers in the market, liquidating at least some part of their holdings every day in order to cover their operational costs. 

“It seems miners, at least, expect to be able to sell bitcoin higher in the coming months,” research in their quarterly report while discussing implications of the drop in the daily miner selling. 

Indeed, bitcoin miners, like any other seller, are governed by the law of supply, which states that other factors being constant, price and quantity supplied of a good are directly related to each other. 

Amazon Prime Membership Should Have Been a Tokenized Asset

Previous

$1.4B in ‘High-Risk’ Crypto Flowed Onto Exchanges in H1 2020, Analysis Firm Says

Next

More