BTC Price Soars Above 45,000 Dollars as Miner Selling Pressure Subsides

Crypto News– On Thursday, Bitcoin (BTC) surged beyond the $45,000 threshold, propelled by indications that miner selling pressure is gradually diminishing.

BTC Price Soars Above 45,000 Dollars as Miner Selling Pressure Subsides

Data from CryptoQuant reveals that the largest U.S. publicly traded bitcoin mining firms have been steadily boosting their bitcoin holdings. Marathon Digital, for instance, has seen a consistent uptrend in its bitcoin holdings over the past several months, as depicted in CryptoQuant’s charts.

Selling Pressure on Bitcoin Subsides

In its weekly report, CryptoQuant highlighted a reduction in mining selling pressure following a period of heightened sales in November and December of 2023. The report noted that daily selling by miners plummeted from over 800 bitcoins per day during November-December 2023 to below 300 bitcoins per day thus far in 2024.

Analysts at CryptoQuant further noted that despite a decline in profits from bitcoin network fees, miners are retaining their reserves. They stated, “Bitcoin miner sell pressure has remained low so far in 2024 even after daily fees have collapsed 90% from near record-highs in December.” This decline in fees is attributed to reduced network activity stemming from fewer transactions associated with registrations and BRC20 token mints.

Data from CryptoQuant illustrates a decrease in the number of transactions on the bitcoin network, dropping from a daily all-time high of 731,000 in late December to a current three-month low of 278,000.

Sudden Bitcoin Price Surges Lead to Sharp Increase in Liquidations

The resurgence in Bitcoin’s price has propelled it back above the $45,000 threshold, triggering significant liquidations amounting to over $114 million in leveraged cryptocurrency positions.

According to data from Coinglass, the price surge resulted in the liquidation of more than $49 million in leveraged bitcoin positions. Of this amount, approximately $47 million constituted short positions.

Within the past 24 hours, the world’s largest cryptocurrency by market capitalization has surged by over 4%, reaching $45,133 as of 9:35 a.m. ET, as reported by The Block’s Price Page.