THE primary crypto asset, Bitcoin has hit a monthly low of $65,000 as a result of several factors which included bitcoin miners selling off their assets at a rate never seen before.
Bitcoin dropped by 6.1% in the past week partly due to the activities of Bitcoin miners who are selling off their assets due to several factors which include lower mining rewards following the halving event earlier this year.
It was reported that the amount of Bitcoin sold by miners in exchanges has hit a two-month high following factors like a reduced mining reward and lower transaction fees. Crypto market loses $200 million as Bitcoin drops to a monthly low of $65,000
Bitcoin transfers from Bitcoin mining pool to Binance on June 9 hit a two-month high of 3000 BTC per hour. This was followed by miners selling over 1,200 BTC over-the-counter desks the next day marking the highest Bitcoin sell-off daily volume since March.
Companies with significant Bitcoin holdings are also selling off their assets frantically. An example of such sell-offs was a firm, Marathon Digital selling over 1,400 BTC representing eight per cent of its total holdings, a significant increase from the 390 BTC sold in May.
The Bitcoin miner’s sell-off rally is powered by a significant drop in mining rewards. Daily miner revenues have dropped to around $35 million, a 55% decrease from the $78 million peak earlier in March.
In addition to this, transaction fees also dropped with daily fees now averaging around 65 BTC, down from 117 BTC before the halving.
