Over the last several days, known miner wallets are sending BTC to exchanges in increasing amounts...
According to a report put out by Glassnode, the amount of bitcoin being sent to exchanges from known miner wallets jumped roughly 46% in the last couple days.
And if you go back a few days earlier, it actually jumped by closer to 100%.
Check it out:
(Source:
)https://twitter.com/glassnodealerts/status/1288719837108359168
- glassnodealerts
As you can see on the chart above, the amount sent to exchanges by miners jumped from $200k to roughly $300k in the last couple days and from $150k to $300k when you include the couple days just prior to that as well.
However, this isn't really a cause for concern...
While normally a sudden increase in miner selling may be a cause for concern, this one really isn't.
Why is that you may be wondering?
Well, mainly due to the overall size of the transfers.
As was mentioned above, the total dollar value noted being sent to exchanges was roughly $300k worth of BTC.
And even if you use the numbers from several days back that is only $150k MORE than we was being sent previously.
In the grand scheme of things, $150k worth of BTC should be pretty simple for Mr. Market to absorb. Especially considering that the daily Exchange Volume is something close to $23 billion per day...
(Source: https://coinmarketcap.com/currencies/bitcoin/)
Miners pretty much behaving like miners do...
After such a fast and furious run up earlier in the week, some consolidation is to be expected.
Miners that may have been sitting on some excess BTC, used the strength in the market as an opportunity to unload it, which is historically what they tend to do.
Based on past trends, miners tend to hoard BTC when the markets are weak and unload when the markets are strong. This doesn't necessarily mean that they hold for higher prices, it just means that they try to sell into strong markets so as to not impact the price too much.
After all, the bitcoin price is basically their golden goose. They have every incentive to keep the price as high as possible for as long as possible in order to maximize on their mining business.
Stay informed my friends.
-Doc