Crypto markets tumble after miners unload 5,000 BTC in one week

Published at: June 8, 2021

The crypto markets are against dropping, with Bitcoin (BTC) crashing below $33,000 for the first time since May 23 as Ether (ETH) similarly broke below support at $2,500.

The downward momentum comes as bearish indicators continue to stack up for Bitcoin, with popular analyst William Clemente III identifying that miners sold more than 5,000 BTC over the past week — worth roughly $164 million at current prices.

Miners have sold over 5,000 BTC in the last week pic.twitter.com/5pEvLgIls2

— William Clemente III (@WClementeIII) June 7, 2021

Crypto author Timothy Peterson also highlighted that BTC’s price has remained below its 200-day simple moving average (SMA) for 17 days consecutively.

”This metric has *always* marked the end of a bull run and the start of a bear market,” he asserted.

#Bitcoin price has dropped below 200-SMA for 17 consecutive days and counting. This metic has *always* marked the end of a bull run and the start of a bear market. pic.twitter.com/6dpiFbUI7A

— Timothy Peterson (@nsquaredcrypto) June 7, 2021

Although the markets appear to be posting a small intra-day bounce — with BTC currently hovering near $33,000 after dropping to $32,400 and ETH currently changing hands for $2,500 after bouncing off a local low of roughly $2,430 — both markets have crashed approximately 15% since posting respective local highs of $39,600 and $2,900, respectively, on Thursday.

However, while both Ether and Bitcoin have been shedding value over recent weeks, capital flows for crypto investment products suggest that institutional investors are pivoting toward Ether.

According to a Monday report from CoinShares, Bitcoin investment products saw record outflows of $141 billion this past week, while Ether products reported inflows of $22 million.

Tags
Related Posts
No gear, no problem! 3 ways to earn Bitcoin through cloud mining and staking
Bitcoin’s (BTC) rapid recovery above $46,000 has renewed calls for a $100,000 BTC price by the end of 2021, while the effects of China’s crackdown on the mining industry are slowly beginning to fade as the Bitcoin network hash rate shows signs of recovery. One of the side benefits of China’s crackdown is that it has lowered the barriers of entry into the Bitcoin mining space, which has been shown to provide profits in both bull and bear markets. Bitcoin mining is one of the few ways that investors can acquire BTC without directly purchasing it from the market, and …
Bitcoin / Aug. 13, 2021
Crypto-associated stocks hammered as COIN and HOOD drop to record lows
Bad news continues to dominate crypto media headlines and May 12's juiciest tidbit was the unexpected collapse of the Terra ecosystem. In addition to the weakness seen in equities, listed companies with exposure to blockchain startups and cryptocurrency mining have also declined sharply. Bitcoin mining stocks continue bleeding... Mining investors probably wish they had simply bought bitcoin instead at the beginning of 2022, as most bitcoin mining stocks have underperformed bitcoin by a wide margin. pic.twitter.com/anSoUEoUJ1 — Jaran Mellerud (@JMellerud) May 11, 2022 While it may be easy to blame the current pullback solely on Terra's implosion, the truth is …
Bitcoin / May 12, 2022
The Bitcoin bottom — Are we there yet? Analysts discuss the factors impacting BTC price
When Bitcoin was trading above $60,000, the smartest analysts and financial-minded folk told investors that BTC price would never fall below its previous all time high. These same individuals also said $50,000 was a buy the dip opportunity, and then they said $35,000 was a generational buy opportunity. Later on, they also suggested that BTC would never fall under $20,000. Of course, “now” is a great time to buy the dip, and one would think that buying BTC at or under $10,000 would also be the purchase of a lifetime. But by now, all the so-called “experts'' have fallen quiet …
Adoption / Sept. 3, 2022
Bitcoin analysts map out the key bull and bear cases for BTC’s price action
Research has detailed Bitcoin’s recent record-low volatility and while traders expect an eventual price breakout, the Oct. 26 BTC price move to $21,000 is not yet being interpreted as confirmation that $20,000 has now become support. In a recent “The Week On-chain Newsletter,” Glassnode analysts mapped out a bull case and a bear case for BTC. According to the report, the bear case includes limited on-chain transaction activity, stagnant non-zero address growth and reduced miner profits present a strong Bitcoin sell-off risk but data also shows that long-term hodlers are more determined than ever to weather the current bear market. …
Blockchain / Oct. 26, 2022
Bitcoin price is up, but BTC mining stocks could remain vulnerable throughout 2023
Bitcoin mining stocks usually follow BTC’s price because it directly influences the company's earnings. These stocks were beaten down heavily in the last quarter of 2022, especially in the month of December. The downturn after FTX's collapse worsened with the bankruptcy filings of the largest U.S.-based Bitcoin mining company, Core Scientific. During this time, other mining stocks, like Marathon Digital Holdings (MARA) in the chart below, exhibited a weak correlation with Bitcoin’s price, suggesting that December’s downturn was probably overblown. The negative trend reversed at the start of 2023 as most mining stocks posted impressive gains. The Hashrate Index mining …
Bitcoin / Jan. 30, 2023