According to U.Today, Julio Moreno, head of research at cryptocurrency analytics firm CryptoQuant, has observed that larger Bitcoin miners are currently in accumulation mode, while smaller miners have been selling off their holdings since the last halving event in April. This trend is evident as major publicly traded mining companies report higher reserves and some are even purchasing additional Bitcoin. For instance, Marathon Digital recently acquired $100 million worth of BTC and is adopting a 'full HODL' strategy, intending to hold onto the coins they produce and make further purchases.
Bitcoin miners have had to adapt to the post-halving environment. Earlier this month, the Financial Times reported that some miners are pivoting to artificial intelligence (AI) due to declining profitability. Core Scientific is among the prominent mining companies currently seeking AI deals. Despite these challenges, Bitcoin's seven-day hashrate average recently hit a new all-time high of 677 EH/s, indicating robust network activity. The rising Bitcoin prices have helped cushion the impact of the block reward reduction, with miner profitability seeing a significant spike due to the ongoing bullish trend. Recently, Bitcoin came close to reclaiming the $70,000 level, trading at $66,572 at press time.
The Bitcoin price recently faced renewed selling pressure due to transfers made by the U.S. government. However, analysts believe that the U.S. is unlikely to liquidate these coins in the near future, as they were likely transferred for custody purposes. This development has added another layer of complexity to the current market dynamics, but the overall sentiment remains cautiously optimistic as miners and investors navigate these changes.
