Bitcoin

Miners are selling their bitcoin as it struggles to hold $70,000

Published

10 months ago

13 June, 2024

Miners are selling their bitcoin as it struggles to hold $70,000

Signs of miner capitulation are emerging as bitcoin struggles with the $70,000 level. According to data from CryptoQuant, the flow of bitcoin leaving miners’ wallets to exchanges – indicating a sell-off event – reached the highest level in two months last weekend. Additionally, miner sales at OTC desks recorded their highest daily volume since the end of March. “Miners are now competing for 450 bitcoins a day across the network, up from 900 less than two months ago,” or post-halving, said Mike Colonnese, an analyst at HC Wainwright. “While rising transaction fees have helped offset some of this impact, the mining economy is effectively down 45% compared to previous levels, so we are not surprised to see some of this strength being sold into the market… as miners effectively seek to cover operating expenses and, to some extent, capex with the proceeds of these bitcoin sales.” CryptoQuant shows that hourly bitcoin transfers from miners to exchanges increased to more than 3,000 bitcoins on June 9. The next day, miners sold 1,200 bitcoins at over-the-counter tables. The cryptocurrency’s price fell to around $66,000 on June 11. Bitcoin has struggled to break the $70,000 level since hitting its all-time high of $73,797.68 on March 14. “[The] sales came in a context of low revenues after the halving,” said CryptoQuant’s head of research, Julio Moreno. “Bitcoin miners’ daily revenues are today at around $35 million, a 55% drop compared to to the 2024 peak reached in March.” a result of “depressed” transaction fees, however, rather than the miners’ block reward reduction at halving. He said the Bitcoin network’s total daily transaction fees are more than 44% lower than they were before the halving and this, even with the halving record transactions on the network, the average transaction fee has remained low. Furthermore, the hash rate of the Bitcoin network has barely dropped since the halving in. April 19, Moreno added, competing for a decreasing amount of block rewards, placing additional pressure on miners’ profitability,” he said. Colonnese said large publicly traded miners are in good shape following the halving. His main choices are CleanSpark and Iren, the former Iris Energy. “We estimate that the group is currently generating gross margins in excess of 50% with bitcoin at US$70,000, while we estimate the total cash cost of producing one bitcoin for the group to be around US$45,000 on average,” he said he. “Therefore, the large listed miners have plenty of breathing room.” CleanSpark fell 19% for the quarter, while Iren rose more than 140%. They gained 55% and 82% for the year, respectively. “On the other hand, smaller bitcoin businesses with less efficient fleets, higher energy costs, and less access to capital are really starting to feel the burn and may struggle to survive in the coming months unless bitcoin prices experience a significant price recovery. in the short term, which is currently not our base case,” he added.

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Financial Block Staff

We are the editorial team of Financial Block, where seriousness meets clarity in cryptocurrency analysis. With a robust team of finance and blockchain technology experts, we are dedicated to meticulously exploring complex crypto markets with detailed assessments and an unbiased approach. Our mission is to democratize access to knowledge of emerging financial technologies, ensuring they are understandable and accessible to all. In every article on Financial Block, we strive to provide content that not only educates, but also empowers our readers, facilitating their integration into the financial digital age.

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Bitcoin

Big Tech Outperforms Bitcoin (BTC) as Trump Deal Weakens Token

Published

9 months ago

1 August, 2024

Financial Block Staff

Big Tech Outperforms Bitcoin (BTC) as Trump Deal Weakens Token

Bitcoin has lost out on an asset rally fueled by positive comments from the Federal Reserve, while a tight US election race casts doubt on whether Donald Trump will get the chance to implement his pro-crypto agenda.

The digital asset fell 2.4% on Wednesday, following a Fed-fueled surge in an index of megacap tech stocks Magnificent Seven by one of the largest margins in 2024. The token retreated further on Thursday, changing hands at $63,750 as of 6:10 a.m. in London.

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Bitcoin

‘This is huge’ — Billionaire Mark Cuban issues ‘incredible’ Bitcoin and crypto prediction amid price slump

Published

9 months ago

1 August, 2024

Financial Block Staff

'This is huge' — Billionaire Mark Cuban issues 'incredible' Bitcoin and crypto prediction amid price slump

Bitcoin
Bitcoin
came back with a vengeance this year when former President Donald Trump Cryptocurrency boosts US presidential election in November with ‘revolutionary’ plan.

Subscribe now to Forbes CryptoAsset and Blockchain Consultant and “discover blockchain blockbusters poised to generate 1,000%+ gains” after the bitcoin halving earthquake!

The price of bitcoin has surged to more than its all-time high in recent months, surpassing $70,000 per bitcoin and triggering a wave of mega-optimistic predictions about the price of bitcointhough it fell again this week, falling below $65,000 after the Federal Reserve kept interest rates steady.

Now, as Elon Musk suddenly breaks his silence on bitcoin and cryptocurrenciesBillionaire investor Mark Cuban called a California plan to digitize 42 million car titles using blockchain an “incredible step forward” and “huge” for cryptocurrencies.

Sign up for free CryptoCodex now—A daily five-minute newsletter for traders, investors, and crypto curious people that will keep you up to date and ahead of the bitcoin and crypto bull market

ForbesElon Musk Suddenly Breaks His Silence On Bitcoin After Issuing Shocking Warning Of US Dollar “Doom” That Could Trigger Cryptocurrency Price BoomBy Billy Bambrough

Mark Cuban, famous Shark Tank investor and billionaire owner of the NBA team Dallas Mavericks, has… [+] called a cryptocurrency update “amazing” amid bitcoin’s price slump.

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The California Department of Motor Vehicles (DMV) has digitized 42 million car titles using blockchain, it was reported by Reuters, through technology company Oxhead Alpha on the Avalanche blockchain and designed to detect fraud and facilitate the securities transfer process.

“This is an incredible development for crypto,” Cuban, best known as an investor on TV’s Shark Tank and owner of the Dallas Mavericks NBA team, posted on X, joking that U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler could sue the state as part of his hostility toward cryptocurrencies and blockchain technology.

“The reason this is huge for crypto is because people who hold the tokens will have an app with an Avalanche wallet,” Cuban said. “Tens of millions of Californians having and using a crypto wallet in the next five years, or however long it takes, normalizes the use of wallets and crypto.”

John Wu, president of Avalanche developer Ava Labs, told Reuters that California’s DMV is “creating a wallet that you can download on your phone.”

Sign up for CryptoCodex now—A free daily newsletter for the crypto-curious

ForbesCryptocurrencies Are Suddenly Bracing For A ‘Very Major’ U-Turn In China After Wild Price Swings For Bitcoin, Ethereum, XRPBy Billy Bambrough

Bitcoin’s price has rallied this year, triggering a wave of bullish bitcoin price predictions from… [+] people like billionaire Mark Cuban.

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Last month, Cuban predicted that if the US dollar falls as the global reserve currency, bitcoin could become “a global ‘safe haven’” and a “global currency.” potentially sending the price of bitcoin to a much higher level.

According to Cuban, bitcoin could become what its most ardent supporters “envision” — a means “of protecting our economies… This is already happening in countries facing hyperinflation.”

The price of bitcoin has skyrocketed over the past year, largely due to the world’s largest asset manager, BlackRock, leading a bitcoin attack on Wall Street.

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Bitcoin

Bitcoin (BTC) miner Riot Platforms (RIOT)’s second-quarter loss widens to $84.4 million as costs rise

Published

9 months ago

1 August, 2024

Financial Block Staff

Bitcoin Mining Profitability Surges in June as Market Adjusts for Halving: Jefferies

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CoinDesk is a awarded media outlet that covers the cryptocurrency industry. Its journalists follow a strict set of editorial policies. In November 2023, CoinDesk has been acquired by the Bullish group, owner of Optimistica regulated digital asset exchange. The Bullish Group is majority owned by Block.one; both companies have interests CoinDesk has a portfolio of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial board to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

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Bitcoin

Why Trump Wants the US Government to Have a “National Stockpile” of Bitcoin

Published

9 months ago

1 August, 2024

Financial Block Staff

Why Trump Wants the US Government to Have a “National Stockpile” of Bitcoin

At a national bitcoin conference in Nashville, Donald Trump finally laid out some of his crypto policy proposals, including a long-awaited part of his plan — building a strategic bitcoin reserve. CNN’s Jon Sarlin explains what it is and why the crypto industry wants it.

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