The last few days has been particularly excruciating for the crypto currency sector as a whole and Bitcoin in particular. Bitcoin miners are also pulling their hands off BTC holding as the crypto market is facing its worst phase of crypto winter.
Bitcoin (BTC) is exchanging hands at $20,038.50 and is down by approximately -2.96% in the last twenty-four hours.
The latest instance of crypto crash has widespread ramifications on almost every entity of the crypto sector. The crypto miners who are the prominent HODLers have been forced to sell their BTC instead of holding them for a future profit.
Bitcoin Miners Getting Rid Of Their Holdings
A report by Reuters has highlighted this worrying trend that BTC miners are getting rid of their Bitcoin Holdings in the past two months when the crypto sector has been hit by its worst phase of crypto winter. The tanking of the values of the number one crypto asset has led to a rush by BTC miners to offload their holdings of the crypto asset fearing a even deeper fall of values in the near future.
Arcane Research, the digital asset analysis firm has sniffed out an uncommon trend-, the Bitcoin miners sold more BTC compared to the amount they generated through mining.
Compare this with data in May when the miners sold just 20% of their holdings of BTC and the rest were kept or hoarded in anticipation of a higher price in the future.
However things have gone awry and the Terra crash has left the Crypto Sector tottering and the Bitcoin miners have been the hardest hit.
Over the years Bitcoin Mining had become a profitable enterprise earning handsome returns. However, today the situation has changed completely. Today mining requires high-powered computer processing power and enormous amounts of power. This has upset the eco vigilantes who point out the highcarbon footprint of crypto mining process. Then there are also concerns regarding high energy consumption, government regulations, BItcoin halving, etc.