Bitcoin Its price has increased by 25% as a result of the launch of spot BTC ETFs in the US and significant accumulation of BTC by large investors in 2024. In this process, a decrease in supply and an increase in mining difficulty are among the factors that could lead to an increase in block sizes and force miners to sell their holdings.
Cryptocurrency Market Sentiment and Pressure on Bitcoin Miners
The Crypto Fear and Greed Index indicates a value of 76, reaching the “Extreme Greed” level. This situation, cryptocurrency It is seen as a harbinger of a possible sales wave in the market in the coming days.
In parallel with an increase in Bitcoin network activity, block size increased by 40-50%. Although this increase often occurs due to the influence of Ordinals, an increase in mining fees is not currently observed. This suggests that the increase in block size is due to high volumes of BTC trades.
Despite the differences in mining difficulty and block size, the increase in block sizes causes miners to spend more time on the network, thus increasing mining competition. According to data from BTC.com, Bitcoin mining difficulty reached 81.73T, while the network’s hash rate has doubled in the last 12 months to an average of 577 EH/s.
The 25% increase in the Bitcoin price as a result of the launch of spot Bitcoin ETFs in the USA and the accumulation of BTC by large investors may increase the selling pressure on miners. In particular, the Bitcoin Miners’ Position Index (MPI) shows that selling pressure from miners is rising, creating concern among analysts and investors. In the past, BTC price has experienced corrections when miners’ reserves were low and MPI was high.
Currently, miner reserves are at a 3-year low due to spot Bitcoin ETFs and heavy demand from the market. Exchange reserves are also at a critical level, maintained until the end of November and on the verge of falling below 2 million BTC.
Spot Bitcoin ETFs recorded net inflows of $323.90 million on Friday, bringing total inflows since launch to almost $5 billion.
There has been a small decline in Bitcoin price over the last few hours and the current price is at $51,640. The lowest and highest prices in the last 24 hours were recorded as 51,641 and 52,537 dollars, respectively. Additionally, trading volume has decreased by 30% in the last 24 hours, indicating decreased interest from traders. Analysts such as Ali Martinez expect a decrease in prices in the next few days.
