(the banning of miners), the hahsrate has started again. And if since this reboot, post-migration out of China, miners have tended to accumulate BTC, it would seem that the situation is reversed since the recent rise in the price of the king of cryptos.
A resale of BTC proportional to production
Since China shot itself in the foot by banning bitcoin mining on its soil
, miners in the rest of the world have benefited from a providential drop in the difficulty of mining, which has allowed them to extract more precious BTC, without changing their devices or their power consumption costs in any way.
The metrics aggregator site Glassnode has just published an analysis
of the behavior of miners with regard to their freshly mined bitcoin stocks (with greater ease, therefore).
In a first observation, it seems that the income of miners per exahash (EH) of computing power has never been as important today as it has been for over a year. According to Glassnode, thanks to the Chinese ban and the latest rise in the price of BTC, miners’ income would have returned to $380,000 per exahash per day, a level not seen since July 2019.
Evolution of miners’ income per exahash of computing power provided (24 h) – Source: Glassnode
Just a well-deserved profit grab?
As we have just seen, BTC miners outside of China are clearly on a roll at the moment. This seems to encourage some of them to already cash in their profits.
Indeed, besides the fact that their profitability is on the up, miners are seeing a bitcoin price that has already rebounded strongly
from the low point of July 20, when BTC very briefly fell below $30,000.
This profit taking can be seen in Glassnode’s metrics, which gives us rema
nd that 2,900 BTC were sold by miners during the last week – that’s almost $150,000 million at the current price.
Thus, we can see from the net flow of miners’ BTC inventory below that their bitcoin sales are equalizing with their production. After a strong selling phase corresponding to the panic period of the “Great Migration” caused by the Chinese regime in May/early July 2021, miners took advantage of the lower difficulty to accumulate bitcoins. This last phase of accumulation seems to be ending now, to become a neutral trend due to the aforementioned profit taking.
Net flow between production and sale of BTC by miners – Source: Glassnode
Miners may also be concerned that as the price of BTC gets closer and closer to its all-time high of last April, it may not be able to break through this resistance? Algorithmic models would tend to prove that Bitcoin would still be undervalued at the current price
, but miners seem to prefer to adopt the old saying of “a bird in the hand is worth two in the bush”.