Bitcoin (BTC) miners are reversing months of selling as the leading cryptocurrency recovers from its $75,000 lows. According to onchain analytics firm Glassnode, miner wallets have started accumulating BTC, marking a noticeable shift in market behavior.
Bitcoin Miners Accumulate BTC Amid Price Recovery
Data from Glassnode reveals that Bitcoin miners are adding to their reserves after a prolonged period of selling pressure. Miner wallets held 1,794,622 BTC on April 12, but as of May 13, they have increased their holdings to 1,797,330 BTC — a rise of 2,708 BTC or 0.15%. While the increase appears minimal, the shift in trend is significant, considering that miners had been offloading BTC since late 2023.
Trader and investor Mister Crypto described the trend as “extremely bullish for Bitcoin,” pointing to similar data from CryptoQuant. Analysts note that the reduced selling pressure from miners could provide support for the BTC price trajectory in the coming months.
Also Read: MicroStrategy Adds $1.34 Billion in Bitcoin, Strengthening Its Dominance with 568,840 BTC
Hash Ribbons Deliver Classic Bull Signal
The Hash Ribbons indicator, developed by Capriole Investments, is flashing a buy signal as miner behavior turns bullish. The indicator, which uses two moving averages of Bitcoin’s hashrate to identify periods of miner capitulation, has historically signaled major market entries. Since issuing its latest buy signal in late March, Bitcoin has gained approximately 20%, fueling optimism that the current uptrend may continue.
Whale Exchange Activity Declines
Meanwhile, large Bitcoin holders, or whales, are also exhibiting less selling pressure. Data shows that the Large Holders Netflow to Exchange Netflow Ratio has dropped to -0.69, indicating that whales are withdrawing BTC from exchanges rather than selling. This trend, combined with miner accumulation, is seen as a bullish indicator for Bitcoin’s price in the near term, with market observers predicting further gains in May.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
