The official US inflation numbers had been released and bitcoin prices have started rising. However, BTC miners increased their outflow in the month prior.
Kazakhstan has unveiled a new set of tax policy to prevent domestic cryptocurrency mining. Kazakhstan is still an important nation in the Bitcoin mining world.
Prices for Bitcoin mining equipment have also fallen to an epidemic level in 2020 due to a global halt and fire sale related to the recent bankruptcy news.
The Texas power grid operators asked Bitcoin miners not to operate in Texas to reduce the load on an already overwhelmed power grid.
Bitcoin miners inflow reach new ATH
IT Tech says that Bitcoin miners are being reported transferredOver 14,000 BTC can be transferred from a miner wallet to an exchange within a single block. Markets were not pleased with the transfer of the miner wallet to an exchange. According to their definition of mining pool wallets in their stats, all pool members—including the specific miner—are included.
However, one user pointed out that the Bitcoins were not included in derivatives or spot markets. Glassnode reported that the BTC Miners’ Netflow Volume on a 7-day moving average (MA) basis hit an all-time high (ATH) of $1,779,953. The ATH was $1,700,000.940 in January 2022’s first week.
The outflow continued on the exchange account, said Ki Young Ju CEO of CryptoQuant. The cryptocurrency will likely end up in a cold custodial wallet. It can either be used as an OTC offer or as a custodial facility. According to him, news can be either positive or negative.
Miner just moved 14k $BTC:
Poolin participants → Unknown walletIt didn’t go to an exchange wallet but more like a custodial cold wallet. This could have been used to access an OTC or custodian. It’s neutral or bullish news.
Beautiful catch @IT_Tech_PL https://t.co/G25DsK2nR6 https://t.co/rYmqVaoTAR
— Ki Young Ju (@ki_young_ju) July 15, 2022
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Are Prices Increasing?
IT Tech claims open interest has been increasing and that the market could soon see growth. According to the study, Bitcoin mining reserves have declined over the past two weeks. However, this could be an indication of declining confidence in price recovery.
The bitcoin price increased more than 6 percent in 24 hours. BTC trades for an average of $20,953. The daily trading volume of BTC is now $32.8 billion, an increase of 2% in 24 hours.
According to Santiment, BTC active addresses increased in the last 24 hours. At press time, the number had risen to close to one million, as compared with 860,000 July 14. It is clear that investors are feeling more positive.
Source: Santiment
Comparable circumstances are observed in regard to the volume which increased from 28.13 million to 31.64 Billion. Bitcoin maximists may see the price increase over the last 24 hours as a sign that there is some relief. In reality, at the time of writing, Bitcoin’s market cap has increased from $376 billion to $395 billion.
BTC Market Cap swells Source: TradingView
Anthony Pompliano, in his analysis of the bitcoin price, stated that it is falling due to increasing inflation. Although it could be correct, Pompliano said that bitcoin is not an effective hedge against CPI.
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Pixabay's featured image. Charts by TradingView.com, Santiment