Capitulation: Public Bitcoin Miners Dump 25% of BTC Holdings Last Month

Keshav Verma

Last Updated: June 11, 2024 2:21 pm

3 mins read

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Data shows public Bitcoin miners dumped around 14.6k BTC during the month of June, which is about 25% of their total holdings.

Bitcoin Public Miners Capitulate As Mining Revenues Stay Quite Low

As per the latest weekly report from Arcane Research, BTC miners sold almost 400% of their production during the last month.

Miners pay off their electricity bills, expansions, and other running costs using dollars. As such, the USD value of their Bitcoin rewards is the more relevant metric for them.

Since the price of the crypto has been in a state of decline during the last few months, times have been hard for the miners recently.

Even so, the large public mining companies still held onto their treasuries through January to April, selling only 20% to 40% of what they mined during the period, and accumulating the rest.

This, however, couldn’t continue in May when the value of Bitcoin took a large hit from $40k down to $30k. Miners had to start liquidating their holdings to fund their expenses, and in total they sold more BTC than they produced during the month.

The below chart shows the amounts public Bitcoin miners sold in each month of the year so far.

Looks like these companies have heavily sold their treasuries during the past month | Source: Arcane Research's The Weekly Update - Week 28, 2022

As you can see in the above graph, the Bitcoin dumping from the public miners in June far surpassed the selling that took place in May.

In June, these mining companies mined a collective 3.9k BTC, but they sold over 14.6k BTC at the same time. This means that they dumped just under 400% of their total production for the month.

Related Reading | Bitcoin Dominance Dives As Ethereum Takes Up More Space

As a consequence of this selling, the BTC holdings of the public miners have shrunk by around 25%. The report notes that some miners have even sold almost all their treasuries, while others haven’t liquidated much.

Core Scientific was the biggest seller during the months of May and June, selling around 10k BTC. Bitfarms followed up Core Scientific as 2nd, dumping more than 3.3k BTC in June.

BTC Price

At the time of writing, Bitcoin’s price floats around $23.8k, up 24% in the last seven days. Over the past month, the crypto has accumulated 17% in value.

The below chart shows the trend in the price of the coin over the last five days.

The value of the crypto has surged up over the last couple of days | Source: BTCUSD on TradingView

Featured image from Michael Förtsch on Unsplash.com, charts from TradingView.com, Arcane Research

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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