Plunge

Based

Bitcoin

Impact

when

<h2 id="key-points">Key Points</h2>
<ul>
 <li>Bitcoin’s recovery could be hindered by the ongoing miner crisis and major players offloading their holdings.</li>
 <li>Charles Edwards of Capriole Investments suggests that around $20 billion worth of BTC has been dumped in the market by key entities.</li>
</ul>
<p>Bitcoin’s [BTC](https://coineagle.com/price/bitcoin/) price has been on a downward trend since its peak at $63.8K on 1st July, falling to $57K on 4th July, marking a 9% decline.</p>
<p>This is the fourth consecutive month of sideways movement since Q2, indicating a weakening market for the digital asset.</p>
<h2 id="reasons-for-the-plunge">Reasons for the Plunge</h2>
<p>Charles Edwards, founder of crypto hedge fund Capriole Investments, suggests that the dip in BTC’s price is partially due to significant players offloading their holdings.</p>
<p>Based on data from BTC miners, ETFs, and long-term holders (LTH), Edwards estimates that approximately 374K BTC, worth over $20 billion, has been dumped on the market.</p>
<p>When the LTH metric is adjusted from +2 years to 155 days, the net outflow is around $40 billion.</p>
<p>Adding Grayscale’s GBTC outflows into the mix, the total dump across these entities amounts to $18 billion worth of BTC.</p>
<h2 id="miner-crisis-impact">Miner Crisis Impact</h2>
<p>BTC miners, mentioned as a key entity in the analysis, continue to face a profitability crisis following the halving event.</p>
<p>Struggling miners may be forced to offload more of their BTC holdings to remain operational.</p>
<p>This crisis could further delay a bullish reversal for the largest digital asset, according to analyst Willy Woo.</p>
<p>The Bitcoin Hash Ribbons, moving averages that signal when hash rates drop, particularly during miners’ profitability crises, have yet to recover, further indicating a weakening market structure for BTC.</p>

Why Bitcoin hasn’t surged? Key industry leaders may hold the Answer

Table of Contents

CoinEagle.com

Άλλα άρθρα που δημοσιεύτηκαν στις 4 Ιουλ 2024

Justin Sun wants to buy off Germany’s Bitcoin holdings

TON Blockchain Integrates Cobo Custody Solutions, Enhancing Security for Toncoin and Notcoin

Canadian Crypto Adoption Continues to Foot-Drag As Cash Stays More Relevant

Gaming Set To Become The Next Crypto Narrative; Here Are 3 Gaming Tokens That Could 100x This Bul...

SlowMist Named 3 Key Causes of Crypto Theft

Cardano Ecosystem Focuses on Interoperability and Scalability in Voltaire Era – Can Price Hit $1?

Join our free newsletter for daily crypto updates!