On-chain analytics provider Glassnode has released data showing that bitcoin miners are piling up while long-term investors are making a profit.
Although January saw strong miner sales, the Glassnode report shows that miner recovery in February has stalled for now.
Map – Glassnode.com
The report claims that long-term miners and investors are the main sellers of bitcoin during bull markets. According to Glassnode, the decline in mining churn can be viewed as bullish as miners either cover operating expenses or accumulate coins in response to Tesla’s $ 1.5 billion investment in bitcoin:
“This indicates that the miners have completed the sale sufficient to cover the costs, or it could indicate that they see Tesla’s statement of trust as a reasonable reason to take control of the Treasury.”
With miners now sticking to BTC, Glassnode concludes that most of the coins sold in the market are loaded by long-term investors.
The report points to the Elon Candle release last week – the largest daily candle in BTC history was released the day following Tesla’s investment announcement, resulting in a 24-hour price gain of $ 7,162, or 18.5% on Monday, 8 February. … …
Looking at Bitcoin’s Life Expectancy (ASOL), an indicator that measures the average lifespan in days of all transactions used, Glassnode concluded that long-term investors took advantage of Tesla’s news to make a profit.
“Elon Candle increased the average coin lifespan from 30 to 58 days as shown in ASOL.”
The company noted that Coin Days Destroyed (CDD), an indicator of economic activity that confirms that coins that have not been used for a long time, also shows that old coins are being redistributed. Glassnode concludes that long-term investors have been profitable since October, when BTC returned over $ 12,000.
Tesla’s investment has also given rise to record-breaking social signals for Bitcoin as Twitter activity climbed to new heights following the automaker’s investment announcement.
Despite the profit, Bitcoin is still gaining traction: BTC tested an hourly high of around $ 49,600 on February 16.