Bitcoin miners sell mining revenue from five days in just three days during a selloff

Bitcoin miners have been selling off their reserves, with the equivalent of five days of mining being sold in the last three days. This trend of capitulation among miners has been ongoing since the halving in April, as the production cost increased and the mining reward decreased. In May, miners’ revenues dropped to a six-month low, signaling an incoming capitulation. This was further confirmed by a significant drop in mining reserves to a two-year low in June. The sell-off has also been accompanied by a drastic fall in hashrate.

Adding to the selling pressure, the United States government has started selling part of its Bitcoin reserves, followed by the German government, which has been getting rid of large batches of BTC. Germany has already transferred more than 2332 BTC since July 1, worth over $145 million. Additionally, the defunct Mt. Gox is preparing to initiate its creditors’ repayments, which is expected to create significant selling pressure of around $8 billion.

Bitcoin investors should exercise caution as the market is expected to be volatile in the coming month, with potential capitulations and continued sell-offs. It is important to note that the content on this site should not be considered investment advice, as investing in Bitcoin carries risks.