Bitcoin miners are experiencing revenues not seen since April 2024. The decline in both Bitcoin prices and transaction fees has significantly impacted mining profitability.
Decline in Miner Revenues
According to CryptoQuant, in June miners generated only $34 million daily. This is the lowest revenue level recorded this year. The substantial drop in revenues is attributed to a 50% decrease in transaction fees and a 15% decline in Bitcoin prices. The comparison with July 2022 raises concerns about the sustainability of mining. Mining companies may have to sell reserves or pause operations to cut losses.
Mixed Whale Behavior
Glassnode data illustrates a divided picture among Bitcoin holders. Smaller whales with 1-10 BTC are actively redistributing, while larger investors with 10-100 BTC have begun accumulating. The accumulation trend score rose from 0.32 to 0.57, indicating renewed interest from medium-sized investors. However, the lack of cohesive whale strategy creates uncertainty in price direction.
Market Prospects and Predictions
Despite the stress on miners and contrary whale signals, analysts believe Bitcoin maintains a bullish structure. Consolidation within $102,000 and $108,000 has created a bull flag, which may lead to significant breakouts. Some analysts project that, if bullish momentum remains, Bitcoin could rise by 50%-80% by October, based on comparisons of current and past market patterns.
The situation in the Bitcoin market remains unstable with mixed signals from participants. While miners' revenues are at critically low levels, analysts see potential for significant growth under certain conditions.
