This year, the amount of BTC in wallets linked to crypto miners has decreased by 8,426. This downtrend, which started in October, continues. The upcoming reward halving explains why miners are reducing their Bitcoin stockpiles. The number of Bitcoins in the hands of crypto miners fell to the lowest level since July 2021 as they reduced their coin storage ahead of the scheduled halving of revenue earned per block.
Bitcoin Miners Continue Selling
The amount of Bitcoin held by miners has fallen to its lowest level since July 2021. According to Glassnode data, the estimated amount of BTC in miners’ wallets has fallen by 8,426 BTC ($530 million) to 1,812,482 BTC since the start of the year. The decline began in the second half of October, when miners held 1.83 million BTC. Miners create valid blocks by adding transaction records to the public ledger, or blockchain. The new coins that appear with each block are given to miners as a reward for their work. They also receive transaction fees.
Currently, miners receive 6.25 BTC per block. The four-year halving, which will take place in April, will reduce this amount to 3,125 BTC, which will reduce revenue per block by 50%. The halving is seen as a stress test for miners because it will reduce their income and increase production costs at the same time. Finally, Bitcoin is trading up 6.40% at $62,818 at the time of writing. The lows and highs in the last 24 hours are $58,500 and $64,000 respectively.
