Recent discoveries by the cryptanalysis company Digital Assets Data show the miners most attached to their Bitcoin (BTC).
„MRI (Miner Rolling Inventory) has decreased significantly since halving, which means that miners are retaining more BTC than they are mining, despite the (alleged) rising costs of the added hash power of the network,“ Digital Assets Data CEO and co-founder Mike Alfred told Cointelegraph on June 18.
Bitcoin price drops as daily BTC flows from two mining pools reach $68 million
Image courtesy of Digital Assets Data
Bitcoin has a hard time pushing the top levels of the network
The difficulty of mining the largest cryptoactive has recently increased to unusual levels. This essentially means that Bitcoin miners are spending more and more time and effort running blockchain while seeking their mining payment or reward.
„We just saw the highest level of mining difficulty ever and we are now close to the highest hash rate ever, even though the reward is the lowest,“ Alfred said June 18.
Bitcoin’s difficulty shows a record increase of two years, while the hash rate mimics that of 2017
Less sales could mean less available supply
Known for its large Bitcoin investment fund, Grayscale has purchased a considerable amount of Bitcoin in recent weeks. Reports in late May showed that the entity bought 50% more Bitcoin than the total amount mined since halving in early May.
The miner who got more Bitcoin Up rewards, along with Grayscale’s accumulation of Bitcoin, leaves us with less BTC available in the market for interested buyers, Alfred explained.
US company announces 700 mining ASICs with more on the way
Moving away from a high level viewpoint, Alfred pointed out:
„In my opinion, the global macro context remains fundamentally bullish. While it is always possible to see lower prices in the very short term, I am very confident that prices will be higher in 12 to 24 months“.
The CEO also said that he expects bullish results for assets that do not reflect the success of their underlying projects. „I am extremely optimistic about protocols like Horizen (ZEN) that have been making great strides in innovative technical development but have tokens that remain undervalued in relation to that progress,“ he explained.
Bitcoin has changed a great deal over the past few weeks amidst multiple upward factors. Even rumors of compatibility with PayPal were unable to get the asset out of its side price action.