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On-Chain Data Analysis: Miners Are Selling More BTC To Keep Their Business

πŸ”₯ On-Chain Data Analysis: Miners Are Selling

In early November, when BTC fell from 21K to 15K5, SOPR (Spent Output Profit Ratio) index was less than 1, showing that investors were selling and cutting losses.

However, when BTC sideway around 16K - 17K, the SOPR ratio decreased from 0.97 to 0.87, the lowest since 2020 so far.

This shows that those who sold at a loss at 16K were the ones who bought at the high price.

So who is selling at loss?

According to the Exchange Inflow index, on 18/11, the holders who transferred BTC to the exchange are:

πŸ‘‰ 26% comes from holders 3~6 months πŸ‘‰ 35% come from holders 18 months ~ 2 years πŸ‘‰ Especially 5% comes from holders 3~5 years πŸ‘‰ The rest are traders and short term holders

Let's take a look at the prices these holders bought:

πŸ‘‰ 3 ~ 6 months have an average price at 22K9 πŸ‘‰ 18 months ~ 2 years have an average price at 49K πŸ‘‰ 3 ~ 5 years have an average price at 8K

In addition

πŸ‘‰ 80K BTC transferred from wallets with more than 10K BTC πŸ‘‰ 50K BTC transferred from wallets from 1K ~ 10K BTC πŸ‘‰ Wallets from 1~100 BTC and 100~1K BTC are 16K5 and 17K BTC respectively

Although 80K BTC was transferred from a wallet with more than 10K BTC to the exchange, from 5/11 to 20/11 the number of BTC in these wallets increased to 21K BTC

The amount of BTC in the wallets from 1K ~ 10K BTC decreased to ~115K BTC

Miners are selling more BTC to keep their business

Through the MPI (Miners' Position Index), the number of BTC transferred by miners increased dramatically on November 9 and 10.

At the same time, the number of BTC reserves of miners also decreased sharply in these 2 days and a large amount of BTC was also put on the exchange from November 8 to 14.

With the majority of investors in the past 2 years still in a state of loss and miners also having to sell BTC to keep the business running.

The selling pressure in the market is still strong and the bottoming process will still continue.

This post is based on this twitter thread.

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