Miners Continue Transfers To Exchanges
Miners Continue Transfers To Exchanges Data on the chain shows that miners recently sent a large amount of Bitcoin to spot exchanges, something that could be bearish for the crypto’s value.
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Bitcoin miners to spot exchanges have surged in the past day
As noted by an analyst in a CryptoQuant afterthe latest spike in miners’ deposits is greater than any other recent spike.
The relevant indicator here is the “miners to spot exchanges, mean”, which measures the total amount of Bitcoin transferred by miners to spot exchanges.
When the value of this stat skyrockets, it means that miners have just sent a large number of coins to exchanges. Since these chain validators usually deposit in spot markets for selling purposes, this kind of trend may turn out to be bearish for the price of BTC.
On the other hand, the low value of the indicator suggests that there are not many trades happening from miner wallets to centralized exchange wallets. Such a trend could be neutral or bullish for the value of the coin as it implies that there is not much selling pressure coming from this cohort at the moment.
Now, here’s a chart showing the trend in Bitcoin miners spotting the average exchanges over the past few weeks:
Miners Continue Transfers To Exchanges | Source: CryptoQuant
As you can see in the chart above, the Bitcoin miners to spot the exchanges have seen a huge spike in the past day.
There have been several influxes of miners’ exchanges over the past two weeks, after which the price generally fell in the short term.
This latest increase in miner deposits is significantly greater than any other seen during this period, and has come while the price has already risen submerged. This is in contrast to the previous ones, which came when the price was around a peak.
If the same trend as the previous miner exchange influx follows this time around, then these new deposits are likely to have a bearish effect on Bitcoin as well.
At the moment of writing, The price of Bitcoin is floating around $20.1k, up 4% over the past seven days. Over the past month, the crypto lost 17% in value.
Below is a chart showing the trend in the price of the coin over the past five days.
Looks like the value of the crypto plummeted down a few days back and has since moved sideways | Source: BTCUSD on TradingView
Featured image from Brent Jones on Unsplash.com, charts from TradingView.com, CryptoQuant.com