ChainCatcher reported that according to The Block, the latest data from Kaiko, a crypto research and analysis company, shows that as Bitcoin mining revenue and transaction fees decline, miners are facing huge selling pressure.
It is reported that the income of Bitcoin miners mainly comes from two aspects: mining rewards and transaction fees. However, affected by the halving of Bitcoin rewards in April (block rewards dropped from 6.25 BTC to 3.125 BTC), miners had to sell Bitcoin to pay costs. Kaiko researchers pointed out in the report that halving events usually prompt miners to sell BTC because the mining process requires a lot of expenditure.
In addition, transaction fees, another source of income for miners, are also on a downward trend. Data from the first week of May showed that miners' profits from transaction fees were lower than their mining income. Analysts believe that at a time when market liquidity is declining, miners' Bitcoin selling could have a significant impact on the crypto market. Take Marathon Digital, for example. The company holds $1.1 billion worth of Bitcoin, and selling a small portion of it would be enough to trigger drastic market fluctuations.
