In a btc-Miners-selling-pressure-decreases” target=”_blank” rel=”nofollow”>analysis As provided by CryptoQuant, a significant change in the behavior of bitcoin miners has been observed, which could indicate a turning point. CryptoQuant analyst crypto Dan described a reduction in selling pressure from miners, which has historically been a pivotal factor affecting bitcoin’s price trajectory.
According to crypto Dan, “selling pressure from miners is decreasing. One of the whales that has been driving the cryptocurrency market down recently has been miners.” He explained that the btc halving, which cut mining rewards in half, led to a decrease in the use of older, less efficient mining rigs, which subsequently reduced overall mining activity. This change forced miners to sell bitcoin in over-the-counter (OTC) transactions to sustain their operations.
Analysis suggests that the market is currently absorbing the sell-off, with a notable decline in the volume and frequency of bitcoin transfers from miners' wallets. “The current market can be considered to be in the process of digesting this sell-off and fortunately the quantity and number of Bitcoins that miners are sending from their wallets has rapidly decreased recently,” stated crypto Dan.
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The implications of this change are significant. crypto Dan added: “In other words, the miners' selling pressure is weakening and if all of their selling volume is absorbed, it may create a situation where the bullish rally can continue again.” He projected optimism for the market and predicted positive moves in the third quarter of 2024.
Historical data from CryptoQuant corroborates the analysis. btc has previously shown a similar pattern where miner selling activity exerted a strong influence on market prices, particularly observed from May to September 2023 and December 2023 to January 2024. During these periods, it was observed a prolonged sideways movement in btc prices, aligning with the peaks. for sale of miners. Notably, when these selling activities subsided, bitcoin prices resumed an uptrend.
This pattern suggests that the recent decline in miner sales could be the precursor to another significant bullish phase for bitcoin, as market conditions appear ripe for a similar reversal of fortunes.
Key price level for a bullish breakout
Further x.com/alphadojo_net/status/1806626017869430927″ target=”_blank” rel=”nofollow”>perspectives of alpha dōjō technical analysts provide a detailed view of market conditions. His daily update on bitcoin via However, analysts have identified critical price levels that could indicate future market movements: “If btc recovers the $63.5k area, it would be bullish; If it loses the $60,000 level, it would be bearish.”
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Technical analysis also reveals that liquidity in the bitcoin market is currently dispersed, with few major order pools. The most notable concentration of orders is around the $63.5k level, suggesting that this price point is critical to market sentiment and potential bullish momentum.
Order book data provided by Alpha Dōjō highlights a current dominance of sell orders, indicating bearish sentiment among traders. In contrast, the supply side is described as weak, with fewer buy orders supporting upward price movements. This imbalance suggests that the market is currently cautious, possibly waiting for more definitive signals before committing to more substantial positions.
At the time of writing, btc was trading at $61,704.
