The crypto market entered a sell-off phase in the first week of June, seeing a market-wide route in which most cryptocurrencies fell to 4-year lows.

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Improving market conditions have also negatively impacted the profitability of bitcoin (BTC) mining, forcing miners to liquidate their bitcoin holdings.

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New data Arcane research shows that public bitcoin mining companies sold 100% of their BTC production in May, compared to the usual 20-40% earlier.

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In the first four months of 2022, public BTC mining companies sold 30% of their mined output, which increased 3x in May and is expected to rise even more in June.

While public BTC miners make up only up to 20% of the total network hashrate, their behavior often reflects the mood of private miners as well.

Collectively, the miners own 800,000 BTC, making them one of the biggest whales on the market. Of these, public miners own 46,000 BTC, and their selling rampage could drive the price down further.

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Things only got worse in June when the price of bitcoin fell below the 2017 high of $20,000 to record a new 4-year low of $17,783. The flow of miners per exchange, a data metric that measures the amount of BTC sent by miners to exchanges, hit a new high in June, hitting levels not seen since January 2021.

As Cryptooshala previously reported, the BTC miner to exchange flow ratio reached a new 7-month high as the price of BTC dropped below $21,000. The decline in the BTC price has also made many mining machines unprofitable, forcing miners out of the crypto market.

The bitcoin hash price is a mining metric that represents a miner’s income based on terahash. This is the average value – in fiat currency – of the daily reward that a miner receives for each settlement of terahash (USD / TH / s per day), which has fallen to a new 1.5-year low.

The Bitcoin Hash Ribbon indicator, which attempts to identify periods when BTC miners are in distress and may capitulate, has crossed, indicating that many miners are shutting down their machines due to a lack of profitability.

During the BTC price crash and miner crisis, many believe that this is also a strong price bottom signal, especially when miners start to give up.

BTC has fallen below $21,000 again and is trading just above $20,000 at press time, down 6% in the last 24 hours.