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September 23, 2020
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Bitcoin

89% of Bitcoin is profitable, but miners are not taking the bait

According to report, the percentage of Bitcoin that is currently generating profit is 89%

It was “four times the charm” for Bitcoin, as the largest digital asset has successfully surpassed its $ 10,000 resistance; a barrier that blocked the BTC since the beginning of May. In fact, the bullish break had been coming a long time ago for Bitcoin, as the asset had strong fundamentals in the chain in recent weeks, despite price stagnation.

With Bitcoin rising on the charts, recent weekly information from Glassnode indicated the main differences that are occurring in the sector at the moment.

Source: Glassnode

According to the report, the percentage of Bitcoin that is currently generating profit is 89%. This means that only 11% of the offer will suffer a loss if they sell their BTCs in the markets.

Now, this scenario has not occurred for a long time, causing a domino effect.

89% of Bitcoin is profitable, but miners are not taking the bait 24

Source: Glassnode

With Bitcoin’s profits increasing, Bitcoin’s net exchange flow in the past few days has improved significantly, reaching levels never seen since the beginning of May.

The graph above meant that a significant part of the industry was profiting, as the net flow witnessed its biggest peak per hour in the past 3 months.

However, the sentiment of BTC miners remains surprisingly unchanged.

Bitcoin miners resisted surrender

89% of Bitcoin is profitable, but miners are not taking the bait 25

Source: Glassnode

The chart above illustrated that Miner Outflow Volume for Bitcoin continued to position itself at the bottom of the spectrum. That sentiment speaks for itself and there may be some reasons why miners are still optimistic.

First, the price of Bitcoin has again tested $ 10,000 for the fourth time since the beginning of May, and its struggles with the psychological range have been well documented. Therefore, the fact that the BTC exceeds this price and currently supports itself in a range above US $ 10,000 may indicate its potential to appreciate even more.

Miners can see this as an opportunity to earn more profits if the asset can exceed its 2019 high of $ 13,800, for which miners’ confidence is currently high.

Second, the Bitcoin Reserve Risk Ratio it also continued on the bottom side, which suggested that long-term holders continued to rely on cryptocurrency.

Therefore, for a long-term perspective, Bitcoin is becoming more attractive to a group of people as speculators continue to leave.

There is a definite possibility that the mining sentiment mentioned above could shift to Bitcoin if the asset exhibits strong corrections, but at the moment, the grass is green for King Coin.

Source: AMBCrypto

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