Miners' Bitcoin Holdings Decrease While Value in USD Increases

14. Apr.

While the amount of Bitcoin in miners' hands continues to decrease, its value against the dollar is increasing.

Miners' Bitcoin Reserves:



In 2019, Bitcoin miners held approximately 2.9 million Bitcoin.This number has been steadily decreasing since then. As of today, miners hold approximately 2 million Bitcoin (source: intotheblock).

Value of Miners' Bitcoin Reserves:

In nominal terms, the amount of BTC they hold has decreased. However, in terms of value, it has reached the 2021 level again.

To illustrate:

On April 5, 2021, miners held 2.37 million Bitcoin, worth approximately $142 billion.
As of today, miners hold approximately 2 million Bitcoin (worth approximately $129 billion).


Conclusion:

After the halving, we can expect miners' reserves to decrease (also to meet the increasing demand).

However, this is not a scary situation. I expect the dollar value of Bitcoin in miners' hands to exceed the previous all-time high in the near future. The reason for this is that the "realised price" (approximately the cost) of Bitcoin will increase after the halving. Overall, this is a data point that we should regularly check to better understand the bull cycle.

TradingView code for tracking the data:

BTC_MINERRESERVESUSD
BTC_MINERRESERVES

Thanks for reading.