Bitcoin Puell Multiple Hits 14-Month High, Here’s What It Means

On-chain data shows that the 7-day moving average (MA) of the Bitcoin Puell Multiple hit a 14-month high recently. Here’s what it could mean for the market.

Bitcoin 7-Day MA Puell Multiple Climbs Above 1 Recently

As a CryptoQuant analyst points out mail, BTC price was around $48,000 the last time it was at its current level. The “Puell Multiple” is an indicator that measures the ratio between the daily income of bitcoin miners and the 365-day MA of the same (both in USD).

When the value of this indicator is greater than 1, it means that miners are now earning more than the average for last year. If the indicator reaches very high values ​​above this mark, then the miners are likely to sell as they are likely to make a significant profit.

On the other hand, a multiplier below the threshold means that the mining income is below the norm at the moment. Sufficiently low values ​​below this mark have historically been a sign that the cryptocurrency is undervalued.

Now here is a chart showing the trend of the 7-day MA of Bitcoin Puell Multiple over the last couple of years:

Bitcoin Puell Multiple

Looks like the 7-day MA value of the metric has shown some rise in recent days | Source: CryptoQuant

As shown in the chart above, the 7-day MA of Bitcoin Puell Multiple has been below the 1 mark for the past year or so as the bear market has taken over the asset. However, with the latest rally in the price of the coin, it looks like the indicator has risen quickly and is now breaking out of the zone again.

For the first time in about 14 months, the metric has risen above level 1. To see what impact this could have on the current market, here is a chart that shows how the indicator has behaved over past cycles:

Bitcoin Puell Multiple Long Term

The trend in the indicator over the history of BTC | Source: CryptoQuant

On the chart, quantitative analysis has noted various levels that have been relevant to the 7-day MA of the Bitcoin Puell Multiple during previous cycles. It appears that sustained rallies usually occurred whenever the metric made a successful break above the 1 mark.

When the score is below 1, some miners may have trouble running their business as lower incomes may not cover expenses such as electricity bills. Thus, during such times, some miners may be forced to sell their holdings in order to maintain their mining capacity.

However, the analyst explains that when the indicator shows an uptrend that breaks the 1 mark, miners start to feel more comfortable paying their bills and hence the selling pressure in this cohort is reduced.

If the same pattern repeats this time, then the current breakout of the Bitcoin pull multiplier above this level could be good news for the viability of the current rally.

Bitcoin Price

At the time of writing, Bitcoin is trading around $24,500, up 13% over the past week.

bitcoin price chart

Looks like BTC has moved sideways since the rise | Source: BTCUSD on TradingView
Featured image by Michael Furch on, charts from,

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