{"id":16876,"date":"2024-09-11T15:12:13","date_gmt":"2024-09-11T12:12:13","guid":{"rendered":"https:\/\/forklog.com\/en\/glassnode-warns-of-potential-bitcoin-sales-by-miners-amid-correction-risks\/"},"modified":"2024-09-11T15:12:13","modified_gmt":"2024-09-11T12:12:13","slug":"glassnode-warns-of-potential-bitcoin-sales-by-miners-amid-correction-risks","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/glassnode-warns-of-potential-bitcoin-sales-by-miners-amid-correction-risks\/","title":{"rendered":"Glassnode Warns of Potential Bitcoin Sales by Miners Amid Correction Risks"},"content":{"rendered":"<p>Bitcoin miners remain confident in the prospects of digital gold due to the rising hash rate, yet they may increase sales if further corrections occur. This is possible due to a general reduction in risk appetite, according to Glassnode.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">The competitiveness of the Mining landscape and their conviction in the <a href=\"https:\/\/twitter.com\/hashtag\/Bitcoin?src=hash&#038;ref_src=twsrc%5Etfw\">#Bitcoin<\/a> Network continues to rise, with the Hash Rate blasting towards new ATHs. <\/p>\n<p>However, investors remain unconvinced in the short term, with exchange-related onchain volumes beginning to languish.\u2026 <a href=\"https:\/\/t.co\/MQBsKh6QeF\">pic.twitter.com\/MQBsKh6QeF<\/a><\/p>\n<p>\u2014 glassnode (@glassnode) <a href=\"https:\/\/twitter.com\/glassnode\/status\/1833517832438493298?ref_src=twsrc%5Etfw\">September 10, 2024<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>As computational power increases to 666.4 EH\/s (14 <span data-descr=\"day moving average\" class=\"old_tooltip\">DMA<\/span>), just 1% below the <span data-descr=\"all-time high\" class=\"old_tooltip\">ATH<\/span>, mining difficulty also rises. According to experts&#8217; calculations, on September 10, the volume of hashes required to create a block rose to 338,000 EH \u2014 the second-highest in history.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/u1f987.com\/wp-content\/uploads\/1-1203.webp\" alt=\"1-1203\" class=\"wp-image-240859\"\/><figcaption class=\"wp-element-caption\">Data: Glassnode.<\/figcaption><\/figure>\n<p>Increased competition and the recent halving have led to a decline in miners&#8217; revenues. The reduction in fee income also played a role, with its share plummeting from 22.3% in January to the current 2.3%. Experts noted that the driving force behind the decline was reduced demand for transfers and <a href=\"https:\/\/u1f987.com\/en\/news\/decline-in-activity-on-runes-protocol-observed\">a weakening<\/a> of activity related to Runes and &#8220;inscriptions.&#8221;<\/p>\n<p>As a result, daily fee volume dropped to $20.3 million, and the reward for a found block fell to $824 million.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/u1f987.com\/wp-content\/uploads\/2-893.webp\" alt=\"2-893\" class=\"wp-image-240860\"\/><figcaption class=\"wp-element-caption\">Data: Glassnode.<\/figcaption><\/figure>\n<p>Analysts noted that the aforementioned operating environment could negatively impact miners&#8217; profitability. They reminded that this group of participants tends to be pro-cyclical, acting as sellers during downturns and hodlers during uptrends.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/u1f987.com\/wp-content\/uploads\/3-505.webp\" alt=\"3-505\" class=\"wp-image-240861\"\/><figcaption class=\"wp-element-caption\">Data: Glassnode.<\/figcaption><\/figure>\n<p>As a next step, experts evaluated aggregated onchain volumes on <span data-descr=\"centralized exchanges\" class=\"old_tooltip\">CEX<\/span> as an indirect indicator of trading activity and speculative appetite.<\/p>\n<p>According to their observations, the average monthly inflow\/outflow figure fell below the annual level. This indicates a decrease in investor demand and a reduction in speculative transactions within the current price range, experts explained.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/u1f987.com\/wp-content\/uploads\/4-324.webp\" alt=\"4-324\" class=\"wp-image-240862\"\/><figcaption class=\"wp-element-caption\">Data: Glassnode.<\/figcaption><\/figure>\n<p>A similar conclusion is drawn from the 90-day normalized spot turnover indicator. Meanwhile, according to the <a href=\"https:\/\/studio.glassnode.com\/metrics?a=BTC&#038;c=usd&#038;e=aggregated&#038;m=market.SpotCvdSum&#038;mAvg=30&#038;resolution=24h\">CVD metric<\/a>, analysts recorded an increase in selling pressure, reflected in a downward price trend.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/u1f987.com\/wp-content\/uploads\/5-206.webp\" alt=\"5-206\" class=\"wp-image-240863\"\/><figcaption class=\"wp-element-caption\">Data: Glassnode.<\/figcaption><\/figure>\n<p>By combining MinMax transformations for trading volume, CVD, and Price Action, experts created a sentiment heatmap where feature values range from 1 to -1:<\/p>\n<p>? Values of 1 indicate high risk;<\/p>\n<p>? Values of 0 indicate moderate risk;<\/p>\n<p>? Values of -1 suggest low risk.<\/p>\n<p>All three indicators suggest that the market is entering a low-risk zone compared to the last 90 days. Such a structure may be susceptible to external forces and potentially result in a sharp price jump in either direction, specialists noted.<\/p>\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" src=\"https:\/\/u1f987.com\/wp-content\/uploads\/6-150.webp\" alt=\"6-150\" class=\"wp-image-240866\"\/><figcaption class=\"wp-element-caption\">Data: Glassnode.<\/figcaption><\/figure>\n<p>Earlier, QCP Capital reported that implied volatilities of Bitcoin options remain elevated. Traders expect significant price fluctuations in light of the Trump-Harris debates and consumer inflation data.<\/p>\n<p>Previously, analyst and MN Trading founder Micha\u00ebl van de Poppe predicted &#8220;final corrections&#8221; before a bull run.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Bitcoin miners remain confident in the prospects of digital gold due to the rising hash rate, yet they may increase sales if further corrections occur. This is possible due to a general reduction in risk appetite, according to Glassnode. The competitiveness of the Mining landscape and their conviction in the #Bitcoin Network continues to rise, [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":16875,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1166,1137,1273,1145,1150],"class_list":["post-16876","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-centralized-exchanges-cex","tag-cryptocurrency-mining","tag-glassnode","tag-market-analysis","tag-news-plus"],"aioseo_notices":[],"amp_enabled":true,"views":"12","promo_type":"","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/16876","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=16876"}],"version-history":[{"count":0,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/16876\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/16875"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=16876"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=16876"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=16876"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}