Bitcoin Miner Capitulation Is Over – BTC Is Re-Testing $10k Once More
The crypto market looks great, with most of the digital assets trading in the green today.
At the moment of writing this article, Bitcoin is trading in the green as well, and the coin seems to be re-testing $10k once again.
Currently, Bitcoin is trading at $9,891.39.
Bitcoin post-having miner capitulation is over
The latest reports show that the much-feared post-halving miner capitulation – that has been blamed for massive sell-offs in the past is now over as miners began to favor accumulation these days.
The blockchain analytics platform CryptoQuant said that its Miners’ Position Index (MPI_ – which is a metric that offers insight on whether Bitcoin miners sell or hold their coins- has fallen almost a month after the third BTC halving.
The online magazine the Daily Hodl writes that a high MPI reading is showing that miners are selling while a low MPI value marks miner accumulation.
“On May 10th, the day before the third halving, the MPI soared to its 2020 high of -0.275. By June 1st, the metric plunged nearly 200% to -0.752,” according to the same online publication.
They also bring up crypto intelligence firm Glassnode and it seems that data coming from them is showing that the miners are in the accumulation mode – “Glassnode’s Miner Outflow Multiple reads at 0.613, a value that mirrors the bear market bottom of December 2018 when miners accumulated Bitcoin at $3,000.”
Bullish Bitcoin predictions
Following the Bitcoin halving which took place in May, there were all kinds of optimistic predictions about the price of the king coin.
Crypto influencer and Bitcoin maximalists Tuur Demeester cited data from the crypto analytics company Glassnode said that Bitcoin miners are almost done selling BTC.
This is the tweet that he reposted:
When are miners moving large amounts of #Bitcoin?
The Miner Outflow Multiple shows when the volume of $BTC flowing out of miner wallets is high compared to its historical average.
It is the ratio of miner outflow (in USD) and its 365 day MA.
— glassnode (@glassnode) June 5, 2020
Crypto analysts are waiting to see Bitcoin surpassing $10k once more. This is a really important psychological limit.
CoinMarketCap is a website that provides cryptocurrency market cap rankings, charts, and more. It was purchased by Binance for $400M in 2020.
Andreas Townsend Author
I am a technical writer, author and blogger since 2005. An industry watcher that stays on top of the latest features, extremely passionate about finance news and everything related to crypto.