- Bitcoin miners are holding more BTC than they are selling.
- Deep-pocketed investors are also buying the dip, as some weak-hand investors panic-sold in the bear market.
Some investors were seen panicking following the recent decline in the market value of Bitcoin (BTC). To some other investors, however, the bear market provides an opportunity for them to accumulate more BTC. According to data from Glassnode, a cryptocurrency on-chain analytics platform, Bitcoin miners are among the people that accumulating more coins as the price declined below $54,000.
Miner Net Positive change turns green
Since the 27th December, Bitcoin miners have been increasingly selling-off their BTC. However, the Miner Net Positive indicator shows that miners have stopped selling their holdings. They currently prefer to HODL the cryptocurrencies mined, according to Glassnode data shared by Lex Moskovski, the CEO of Moskovski Capital.
This current trend with Bitcoin miners is quite bullish, as it tightens up BTC supply on exchanges, thereby creating more scarcity for BTC. It remains unknown why Bitcoin miners suddenly turned to hold their BTC for the first time since the 27th of December, 2020. It corresponds with the recent decline in the value of Bitcoin, and Moskovski thinks miners could be expecting an imminent rally in the BTC market.
Bitcoin miners and Whales are accumulating BTC
Miners are not the only set of people accumulating more Bitcoin in the bear market. Recently, CryptoQuant reported a whale transaction on Coinbase that moved about 14.6K BTC from the exchange to external addresses. The transaction is worth over $825 million in today’s price at $56,520.
Early in March, another outgoing whale transaction involving 12,000 BTC was spotted on the exchange when BTC dropped to around $46,686. This somewhat indicates that more Bitcoin is entering into stronger hands, as people panic-sold their coins, amid price drops.