Following a 3.5% decline in the last 24 hours, BTC price trades at $42.19K as of this writing. But many analysts opined that the leading cryptocurrency might shed further gains within the next few weeks as the intense selling pressure on this token grows.
BTC Miners’ Activities
The activities of BTC miners are one factor that will be responsible for the upcoming BTC price decline. As it is the weekend, no one should expect significant changes to the BTC trading volume. The latest Delphi Digital analysis states that BTC is moving towards the intersection of the 24-hour, 7-day, and 30-day price resistance, which corresponds to a short-term price consolidation.
BTC price performance on the 8-hour chart. Source: TradingView
This confluence of resistance zones only makes it logical for traders to take profits or take on fewer risks. If the bulls fail to hold BTC above the $40K level, it will decline towards the $38.5K mark (its next support level).
A further dip below this level will lead to intense selling pressure. A famous crypto analyst on Twitter (crypto Ed Nl) agrees. He also tweeted that a BTC move below the $40K level will put the bears in complete control.
Crypto Ed Nl tweet. Source: Twitter
Miners That Hold Vs. Those That Sell
A new Glassnode data reveals that BTC miners’ net positions are negative for the first time in three months. While Glassnode postulates that smaller and less efficient miners are the ones selling their BTC right now, it predicts that their number will rise over the next few weeks.
Glassnode analysts opine that the activities of the miners seem strange given that they usually increase their BTC holdings regardless of the market condition, and even as of last month, they increased their BTC holdings even when the leading cryptocurrencies traded at the $30k level.
However, many public-listed miners aren’t concerned about these miners’ stats. For instance, marathon digital’s stock price has surged by 42% in the last 30 days following the general downtrend in the crypto market at that time.
Marathon digital is a top BTC miner co-owned by legendary investor and crypto bull, Fred Thiel. A top-level executive revealed to Bloomberg that marathon digital hadn’t sold any of its BTC ever since it started holding in October 2020. Also, Hut8 mining CEO, Sue Dennis, stated that the company is a core BTC advocate and would keep holding even though many miners are selling their BTC.
Bitmain And Merkle Standard Collaborate
BTC infrastructure provider, Bitmain and BTC mining firm, Merkle Standard, have announced a collaboration. Part of the consequences for the move will result in the establishment of a 500MW clean mining block at Merkle standard’s mining center in Washington.
Also, the collaboration will enable Merkle standard access 150K Bitmain mining rigs, and Bitmain is expected to supply Merkle with its top mining rigs, especially its S19j Pro, S19+, and S19XP. The mining firm’s CEO, Ruslan Zinurov, claimed that the collaboration would make Merkle one of the biggest mining firms across North America.