Bitcoin’s Fall: Mining Disruption and Market Uncertainty

Recent weeks have seen Bitcoin price plummet from highs above $105,000 to around $75,000. While the market grapples with this drop, analysts are questioning what exactly is driving Bitcoin’s current struggles. Miner Reserves appear to be a key factor. The graph shows a strong correlation between Bitcoin price and miner reserves. As Bitcoin prices fall, miners are selling their holdings, potentially due to operational pressures like high energy costs. A recent spike in miner reserves was followed by sharp drops, indicating liquidity pressure.