– Miners are rapidly exiting their bitcoin positions.
– 14,000 bitcoin, worth more than $300 million, was transferred out of wallets belonging to miners in a single 24-hour period at the end of last week.
– In the last few weeks, miners have offloaded the largest amount of bitcoin since Jan. 2021.
– The phenomenon is called “miner capitulation.”
– Miner capitulation typically indicates that miners are preparing to sell their previously mined coins in order to cover ongoing mining expenses.
– Bitcoin is currently trading around $21,600, up about 3% in the last 24 hours.
– Meanwhile, inflation is on a tear, and the cost of energy is hitting record highs.
– Lower bitcoin prices and higher energy costs are compressing profit margins for miners.