Bitcoin‘s third halving successfully executed on May 11th. The whole crypto space was on fire, and Tone Vays held a massive 12-hour live session with amazing tests such as Mike Novogratz, Willy Woo, PlanB, Max Keiser, and more joined the countdown.
The halving event is a historical one:
The final Bitcoin block with a subsidy of 12.5 BTC was mined by @f2pool_official and contained the following message in its coinbase transaction:
🐟NYTimes 09/Apr/2020 With $2.3T Injection, Fed’s Plan Far Exceeds 2008 Rescuehttps://t.co/9dtTrC8YH6
— Jameson Lopp (@lopp) May 11, 2020
Crypto analyst Willy Woo addresses post-halving selling
Crypto analyst Willy Woo said that miners are nit the largest sellers of BTC following the halving. The event reduced the rate of new BTC that’s entering the supply.
Woo just pointed out to the fact that crypto exchanges will be taking over the role as the most important source of selling pressure.
He says that crypto exchanges will soon take over the role as the biggest source of selling pressure.
Post this 2020 halvening miners will cease to be the biggest sellers of Bitcoin. It’ll be the dawn of the crypto exchange as the leading seller.
The biggest sell pressure on Bitcoin will soon be from exchanges selling their BTC fees collected into fiat.
— Willy Woo (@woonomic) May 9, 2020
The on-chain analyst says that crypto exchanges are essentially tax agents that collect fees in BTC from traders.
You can think of exchanges as tax agents on traders. That tax, extracted in fees in BTC, gets dumped onto the markets and sold for fiat. It’s similar to miners where coins gained by diluting the supply get dumped on the market that new demand needs to absorb.
— Willy Woo (@woonomic) May 9, 2020
Woo estimates that exchanges extract 1,200 BTC per day from trading fees.
At the moment of writing this article, Bitcoin is trading in the green and the king coin is priced at $9,394.78.