BTC continues to fluctuate within a narrow range, and miner reserves have fallen to a new low in three years.

Original author: Mary Liu, BitpushNews

On Thursday, the cryptocurrency market saw fluctuations, with Bitcoin continuing to fluctuate narrowly. According to Bitpush data, BTC once touched an intraday high of $66,455.50, but the bulls lost momentum again, falling to a daily low of $64,656.72 after midday. As of the time of writing, it has returned to above $65,000, with almost zero volatility in the past 24 hours.

The trend of altcoins has also become flat. In the past 24 hours, among the top 200 tokens by market capitalization, Worldcoin (WLD) led the gains with a 11.82% increase, followed by Fetch.AI (FET) with a 11.29% increase, and SingularityNET (AGIX) with a 9.46% increase. zkSync (ZK) led the decline, down 9.81%, Flare (FLR) down 6.41%, and JasmyCoin (JASMY) down 5.57%.

The current market capitalization of the overall cryptocurrency is $2.36 trillion, with Bitcoin’s market share at 54.15%, almost unchanged from yesterday.

In the stock market, the S&P 500 and the Nasdaq both fell sharply in afternoon trading. At the close, the S&P 500 fell slightly by 0.25%, while the Nasdaq fell by 0.79%, and the Dow Jones rose by 0.77%.

BTC Miner reserves fall to the lowest level since 2021

According to CryptoQuant’s data, Bitcoin miner reserves have fallen to the lowest level since 2021. Miner reserves indicate the amount of Bitcoin held in associated miner wallets, which represents the reserves that miners have not yet sold. The data shows that the current miner reserves are approximately 1.82 million BTC, compared to approximately 1.87 million BTC at the beginning of the year.

When miners start selling, the supply increases and may lead to a price depreciation, depending on the market demand for tokens. However, CryptoQuant charts show that miner reserves have been decreasing since October 2023, while Bitcoin’s price has risen by 150% during the same period.

In addition, CryptoQuant data also shows that the daily trading volume of Bitcoin miners’ over-the-counter trading has increased to the highest level since the end of March.

“Be Patient”

On-chain data platform Santiment said on-chain metrics show that retail investors are “primarily feared or not interested in Bitcoin because the price is between $65, 000 and $66, 000.”

Santiment released an article stating that patience will be rewarded in the current market slump: ‘This persistent FUD situation is rare, as traders are capitulating and the fatigue of Bitcoin traders, coupled with whale accumulation, usually leads to a rebound, which is beneficial for those who are patient.’

Preparing to Reverse the Situation

Some analysts believe that BTC may have bottomed out and may be preparing for another breakthrough.

Cubic Analytics founder Caleb Franzen said that although the recent failure to break through the resistance level, the Bitcoin bulls have done a great job in defending the key support level, and he is waiting for a breakthrough at the $66,000 level.

BecauseBitcoin CEO and founder Max expressed on X platform that BTC and AltCoin are just repeating the trends of each previous cycle.

He said, “As BTC surges to its previous cycle’s high point, we usually see poor performance from AltCoins. In the previous two cycles, AltCoins experienced significant declines during this phase, just like what is happening now. Patience is key, but this kind of price action and fear towards AltCoins is common, and the current situation is no different. I will wait for new evidence to emerge.”

Analyst Michaël van de Poppe believes that BTC has bottomed out in the current range and is expected to rise in the medium term.

In his X post, he wrote, “Bitcoin may have bottomed out between $63,000 and $65,000 and accumulated a rising momentum. As a result, with the decline in Bitcoin’s dominance, Altcoins are showing stronger strength, and a reversal is imminent.”