Tomiwabold Olajide
Bitcoin’s price fell as much as 9%, hitting its lowest level since late July
According to Cryptoquant data shared by Ali Martinez, bitcoin miners appear to have benefited from the recent bitcoin price surge above $25,000. According to the chart provided, miners have sold 5,925 Bitcoin for a total value of nearly $142 million over the past two weeks. This shows that miners have taken the opportunity to raise some liquidity following the recent price spike, possibly to strengthen their balance sheets and mitigate risk. Miner stress appears to be resuming after a previous decline. This declined slightly after peaking in June when BTC values fell below $20,000.
#Bitcoin miners appear to have taken advantage of the recent upswing to book profits. Data shows that miners have sold $5,925 BTC in the past two weeks, which is worth around $142 million. pic.twitter.com/slcO7SstOZ
— Ali Martinez (@ali_charts) August 19, 2022
As reported by U.Today, long-term holders, particularly those who bought their bitcoin near the market top in 2021-2022, also played a role in the selling pressure on the currency.
Since the collapse of LUNA in May, there has been a net outflow of -300,000 BTC from long-term Bitcoin holders (LTHs) and exchanges in favor of short-term holders (STHs), according to Glassnode.
To sue
📊 #Bitcoin remains relatively flat at $23.4K, but its P/L transaction ratio surges to the ‘yellow flag’ level. Meanwhile, #Ethereum is finally posting much safer odds this week after some very heavy profit taking in early August. https://t.co/CB79m9dkbE pic.twitter.com/RXfXTdkfuu
— Santiment (@santimentfeed) August 18, 2022
On-chain analytics firm Santiment previously pointed out that Bitcoin’s profit-taking increased as its price fell from $23,000.
Bitcoin is now testing “realized price”
#Bitcoin Test Realized Price. pic.twitter.com/wUqwORGHla
— Root 🥕 (@therationalroot) August 19, 2022
Cryptocurrencies saw a sharp sell-off as markets around the world declined on heightened monetary policy uncertainty. Bitcoin’s price fell as much as 9%, hitting its lowest level since late July. At the time of writing, the largest digital coin had pared its losses slightly, trading up 7.31% to $21,742. According to data from Coinglass, $552.79 million worth of cryptocurrency positions were liquidated in 24 hours, with Bitcoin accounting for $203 million.
Priced at $21,742, Bitcoin is currently trading below the realized price of $21,773, which is the average value of BTC coin supply since the last on-chain transaction. With BTC prices below the realized price, the short-term outlook remains mixed. The crypto fear and greed index has returned to “fear”, indicating the level of concern in the market.
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