Bitcoin price rises above $45,000 as miner selling pressure eases off: CryptoQuant

Bitget App

Trade smarter

The Block2024/02/08 15:45

By:Brian McGleenon

The largest bitcoin mining companies in the U.S. have continued to increase their bitcoin holdings, according to CryptoQuant.The price of bitcoin has rallied above the $45,000 mark over the last 24 hours.

Bitcoin price rises above $45,000 as miner selling pressure eases off: CryptoQuant image 0

Bitcoin BTC +5.24% broke through the $45,000 mark on Thursday, as on-chain data shows miner selling pressure is beginning to ease off.

According to CryptoQuant, on-chain data shows that the largest U.S. publicly traded bitcoin mining companies have continued to increase their bitcoin holdings. For example, CryptoQuant's charts show Marathon Digital's bitcoin holdings have increased steadily over the past few months.

CryptoQuant estimates in real-time the total bitcoin holdings of Marathon Digital. Image: CryptoQuant.

Bitcoin selling pressure eases off

In a weekly report , CryptoQuant said that mining selling pressure has reduced after a period of high sales in November and December of 2023. "Daily selling by miners went from 800+ bitcoin daily in November-December 2023 to below 300 bitcoin daily so far 2024," it said.

CryptoQuant analysts added that miners are holding on to their reserves despite profits from bitcoin network fees having declined. "Bitcoin miner sell pressure has remained low so far 2024 even after daily fees have collapsed 90% from near record-highs in December. The strong decline in fees is related to lower network activity as a result of less transactions coming from inscriptions and BRC20 token mints," the report added.

Data from CryptoQuant shows the number of transactions on the bitcoin network has declined from a daily all-time-high of 731,000 in late in December to a current three-month-low of 278,000.

According to The Block's Data Dashboard , the rewards that miners are paid for producing valid blocks and processing transactions have decreased from a multi-year high in December.

Bitcoin upswings causes spike in liquidations

The price of bitcoin has rallied back above the $45,000 mark with the volatile price action causing the liquidation of over $114 million in leveraged cryptocurrency positions.

The price action caused the liquidation of over $49 million in bitcoin leveraged positions, according to Coinglass data . The majority of the BTC liquidations, a total of around $47 million, were shorts.

The world's largest cryptocurrency by market capitalization increased by over 4% in the past 24 hours to $45,133 at 9:35 a.m. ET, according to The Block's Price Page .

The price of bitcoin increased by over 4% in the past 24 hours. Image: The Block.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.

APR up to 10%. Always on, always get airdrop.

Lock now!

Business intelligence firm and corporate bitcoin holder MicroStrategy purchased another 55,500 BTC for $5.4 billion between Nov. 18 and Nov. 24, according to an 8-K filing with the SEC on Monday.Axie Infinity crypto game developer Sky Mavis is laying off 21% of its workforce, affecting about 50 of its 250 global team, amid a “shift in priorities,” according to CEO and co-founder Trung Nguyen.Solana’s decentralized exchanges surpassed $100 billion in monthly trading volume for the first time, generating a r

The Block•2024/11/25 21:23

Justin Sun's Tron buys $30 million of Trump-backed World Liberty Financial tokens

Tron founder Justin Sun said his firm has bought $30 million worth of World Liberty Financial tokens, the crypto project supported by newly-elected U.S. President Donald Trump.Sun said the purchase made Tron the largest investor in World Liberty Financial.

The Block•2024/11/25 21:23