Jan Wüstenfeld on Nostr: Bitcoin miner to exchange flows in general downward trend The amount of bitcoin send ...

Bitcoin miner to exchange flows in general downward trend

The amount of bitcoin send to exchanges by miners is in a clear downward trend when looking at the 365-day moving average and the 7-day moving average. Both are trending lower since the last bull run.

Part of that may be miners increasingly conducting over-the-counter deals instead of selling on exchanges. In that case, the selling pressure has just shifted elsewhere.

Another factor is the professionalization of the mining space, with more and more companies that are potentially well-capitalized and have less pressure to sell their mined bitcoin to cover their operating costs at the moment.

For example, Marathon increased its bitcoin holdings by 20% from 9,673 BTC in March 2022 to 11,568 BTC in March 2023. Still, they sold 600 BTC in April to support monthly operations etc.

The professionalization may have also led to a shift from exchanges towards over-the-counter deals not showing up in the data.

But on average, it seems reasonable to assume that part of that decline in the data is due to reduced selling pressures by bitcoin miners.