Bitcoin may be struggling to rally past its all-time high of $112,000, but miners are going through a tougher time. They have recently recorded some of their worst paydays in history.
On-chain data, including the Miner Profit/Loss Sustainability metric, analyzed by the market intelligence platform CryptoQuant, revealed that miner revenues have declined significantly. However, this has not triggered any form of panic selling among them.
Miner Revenues Plummet
According to the report , miners are the most underpaid they have been in a year. On June 22, daily revenues fell to a two-month low of $34 million due to lower transaction fees and the latest plunge in bitcoin’s (BTC) price. CryptoQuant said the figure is the lowest since April 20.
While miner revenues remain low, the hashrate of the Bitcoin network has also declined slightly. This metric has plummeted 3.5% since June 16; while CryptoQuant sees this as a small drawdown, it is the largest plunge since July 2024. The Bitcoin network hashrate fell 8.4% in July 2024 as miner revenues dropped following the halving that slashed block rewards from 6.25 BTC to 3.125 BTC.
Regardless of the low revenues, miner outflows have dropped, indicating that selling is still muted. Bitcoin transfers from miners to crypto exchanges have fallen from a daily peak of 23,000 BTC in February to about 6,000 BTC currently. CryptoQuant said miners are not selling as much as they used to because they are still enjoying 48% Net Unrealized Profit/Loss operating margins.
Still Room for Growth
Notably, miners have not recorded any days of extremely high flows to exchanges since February. In fact, large miners have been replenishing their reserves.
CryptoQuant’s analysts found that miner addresses holding between 100 BTC and 1,000 BTC have expanded their collective holdings from 61,000 BTC on March 31 to 65,000 BTC currently. This is their highest level since November 2024, when reserves fell below 71,000 BTC after BTC rallied past $100,000 for the first time. The spike in reserves further solidifies the belief that there is no selling pressure from them at bitcoin’s current price levels.
Additionally, miners from the Satoshi era have only sold 150 BTC so far this year, compared to roughly 10,000 BTC last year. This cohort of market participants often sells during strong rallies, indicating market tops. Since they have refrained from selling so far, it implies that BTC still has more room for growth.
