Fun

Bitcoin Investors Watch Out: Miners Showing Unusual Exchange Inflow Activity

News Feed - 2024-10-22 01:10:20

Este artículo también está disponible en español.


On-chain data shows the Bitcoin miners have been making an unusually high number of transactions to centralized exchanges recently. Bitcoin Miner To Exchange Transactions Metric Has Just Seen A Spike


As pointed out by CryptoQuant author IT Tech in a new post on X, the Miner to Exchange Transactions indicator has been high recently. The “Miner to Exchange Transactions” keeps track of the total number of transfers that the miner-associated Bitcoin wallets are making to addresses connected with exchanges.


When the value of this metric is high, it means the miners are making a large amount of moves to these platforms. As one of the main reasons why these chain validators would deposit to exchanges is for selling-related purposes, this kind of trend can have a bearish effect on the BTC price. Related Reading Dogecoin Breaks Away With 9% Surge: Why This Could Trouble Bitcoin 2 days ago


On the other hand, the indicator being low implies miners aren’t making inflows to exchanges, potentially because they plan to hold onto their coins for a while. Naturally, this HODLing from this cohort can be a positive sign for the asset.


Now, here is a chart that shows the trend in the Bitcoin Miner to Exchange Transactions over the last few days: The value of the metric appears to have been quite high in recent days | Source: @IT_Tech_PL on X


As displayed in the above graph, the Bitcoin Miner to Exchange Transactions has registered a large spike during the past day, suggesting that the miners have just made a large number of moves to these platforms.


It’s possible that this is an indication of aselloff from these chain validators, but whether this potential selling would actually affect the cryptocurrency depends on the exact scale of coins that’s involved in the transactions.


The analyst has also shared the data of an indicator that provides information related to it, called the Miner to Exchange Flow: The data for the miner exchange flow over the last couple of days | Source: @IT_Tech_PL


From the chart, it’s visible that this metric’s value has also shot up alongside the spike in the Miner to Exchange Transactions. At its height, the metric touched 225 BTC, which is equivalent to a little under $15.4 million at the current price.


This isn’t a small sum in itself, but when considering the scale of the total Bitcoin market cap, these exchange inflows hardly weigh to much. Thus, even if the miners plan to sell these coins, the market should be able to absorb the pressure just fine.


Miners are entities that have constant running costs in the form of electricity bills, so they tend to be regular sellers. Most of the time, their selling remains limited, which would make the recent value of the Miner to Exchange Flow in line with the norm. Related Reading Bitcoin Holders In Profit Hits 95%: Is BTC Overheating? 3 days ago


The number of individual transfers to exchanges that the miners have made, however, is certainly unusual, so these indicators could be to keep an eye on in the coming days, in case more spikes pop up. BTC Price


Bitcoin had surpassed the $69,000 level on Sunday, but the asset appears to have dropped back to $68,200 today. The price of the coin has been steadily moving up over the last few days | Source:BTCUSDT on TradingView Featured image from Dall-E, CryptoQuant.com, chart from TradingView

News Feed

Did A Massive Bitcoin And Ethereum Sell-Off By Binance Trigger The Market Crash? Crypto Exchange Responds
Este artículo también está disponible en español. There have been recent concerns within the crypto community regarding Binance’s recent activities after a claim su
3 Stablecoins Command Positions in the Crypto Economy’s Top 10, Another Fiat-Pegged Token Is Close to Joining
3 Stablecoins Command Positions in the Crypto Economy’s Top 10, Another Fiat-Pegged Token Is Close to Joining The last five weeks has been brutal for digital currencies as more t
Accounting Firm PWC’s Hong Kong Branch Purchases Land in The Sandbox Metaverse
Accounting Firm PWC"s Hong Kong Branch Purchases Land in The Sandbox Metaverse On Thursday, Pricewaterhouse Coopers’ (PWC) Hong Kong unit announced that it purchased a land
Bitcoin, Ethereum Technical Analysis: ETH Above $1,330, Consolidating Recent Gains
Bitcoin, Ethereum Technical Analysis: ETH Above $1,330, Consolidating Recent Gains Ethereum mostly consolidated during Tuesday’s session, as prices continued to trade close
Turner Wright3 hours agoNo ‘mass exodus of funds’ following Binance-DOJ settlement — NansenRoughly 24 hours following the announcement of a settlement with U.S. officials, Nansen reported Binance’s total holdings
How This Dualchain Network Architecture Is Solving The Blockchain Trilemma
The Blockchain Trilemma, also commonly known as the Scalability Trilemma, has been one of the greatest hurdles for cryptocurrencies – that is, until recently. Metaverse Fo
Savannah Fortis10 hours agoGerman parliament member ’staunch opponent’ of digital euro, all in on BitcoinEuropean Union lawmakers anticipate the arrival of the digital euro, but German politician Joana Cotar is pushi
Web3 users reached an all-time high of 10M in Q2: DappRadar
Christopher Roark3 hours agoWeb3 users reached an all-time high of 10M in Q2: DappRadarThe second quarter saw a record number of Web3 unique daily active wallets, but DappRadar cautioned the growth may be due to temporar
Michael Burry Compares Current Banking Turmoil to Panic of 1907 — Highlights Markets Bottoming
Michael Burry Compares Current Banking Turmoil to Panic of 1907 — Highlights Markets Bottoming Michael Burry, a hedge fund manager renowned for predicting the 2008 financial cris
Bitcoin Cash Meetups Go Virtual in Japan to Combat Virus, Allowing Members to Choose
Bitcoin Cash Meetups Go Virtual in Japan to Combat Virus, Allowing Members to Choose Due to the spread of the COVID-19 virus, BCH meetup groups in Tokyo and Osaka, Japan, have an
Texas Blockchain Council and Riot secure win against US energy officials
Ciaran Lyons7 hours agoTexas Blockchain Council and Riot secure win against US energy officialsAccording to the court filing, the temporary restraining order granted aims to “preserve the status quo," and will exp
Chainalysis Report Says $2.2 Million in Crypto Has Been Sent to Pro-Russian Groups in Ukraine
Chainalysis Report Says $2.2 Million in Crypto Has Been Sent to Pro-Russian Groups in Ukraine According to a report stemming from the blockchain intelligence company Chainalysis, t