Bitcoin miners mine 3,000 BTC, eyes on price impact: data

Bitcoin miners are making huge profits thanks to the surge in transaction fees, which have peaked since April 2021, mainly due to the increasing demand for Ordinals articles.

The positive momentum in the market this year has served as an important rebound for miners, offsetting the challenges faced by unfavorable conditions in 2022.

So it looks like miners have cashed in on this month's spectacular rally.

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Estimated sales of Bitcoin miners $129 million

Bitcoin miners have liquidated more than 3,000 BTC in the last 24 hours, making a whopping $129 million in sales. The latest CryptoQuant data shared by analyst Ali Martinez shows that there has been a continuous decline in Bitcoin miners' reserves since the beginning of December.

This significant change by miners has the potential to impact Bitcoin's price volatility. In the short term, such large-scale transactions often attract attention from market participants and analysts, leading to speculation about the potential impact on the broader market.

Bitcoin miners currently hold approximately 1,834,447 BTC, with the latest sale of 3,000 BTC.

In a dramatic move, #Bitcoin miners have sold over 3,000 #BTC in the last 24 hours, taking in nearly $129 million. This high selling price can affect the price of $BTC. pic.twitter.com/mUl4ebDwpm

— Ali (@ali_charts) December 28, 2023

Bitcoin miners will no doubt be riding the wave of the new BRC-20 token standard, which will push Bitcoin transaction fees through the roof. Miners in the network are taking advantage of this trend by accumulating additional profits in the form of satoshis.

Earlier this month, CryptoPotato reported that three popular Bitcoin mining pools, which comprise the majority of the market share, pulled in about a third of their profits from transaction fees alone.

Foundry USA, commanding 26% of the market, recorded an average transaction fee of 3.23 BTC per block during this period. Similarly, its main competitor, Antpool, based in Beijing, China, collected an average of 3.26 BTC per block.

Increase in marketing income

Bitcoin miners accumulated an average daily transaction fee income of $2 million in 2023, a whopping 400% growth compared to last year's average. CoinMetrics data previously predicted that total revenue generated by Bitcoin mining would exceed $10 billion by 2023, contributing to the $57 billion accumulated over the past 14 years.

In December, miners' total daily revenue rose to an annual high of $64 million, combined with rewards and transaction fee revenue. Notably, since the introduction of December, the daily mining activity revenue has remained consistently above $33.85 million, indicating a profitable trend for miners in the fourth quarter of 2023.

Additionally, CoinMetrics announced that quarterly mining revenues in 2023 will surpass $2 billion in the last three periods.