BTC miners sold 75% of their rewards past June. Last year, in June 2022, they sold 326% (Bitcoin Sold vs Bitcoin Mined) just as the bear market began

Lets dive a bit into this:

As the next Bitcoin halving approaches, miners make different moves. According to recent data from Luxor Mining, Bitcoin miners sold 75% of their rewards in June. Let's remember the upcoming halving event set for late April 2024. Post-halving, miners will require more efficient equipment to remain competitive. Another factor for the 75% could be miners' concerns about potential price drops, reminiscent of the bear market in 2022 when some miners had to sell their reserves to stay competitive. Interestingly, while 2022 saw miners holding onto their BTC, 2023 has witnessed a more consistent withdrawal pattern, with many miners saving up to 25% of their rewards, possibly in anticipation of a post-halving bull market.

Source: Luxor Mining

Now there's an interesting insight here. See the peak in June 2022? Miners were selling all the BTC they mined, as well as their reserves (Hence the 326%), just after Bitcoin's price dropped from 60k to 30k. Look at the months before, barely any BTC mined sold.

Source: CoinMarketCap BTC Price Chart

It seems that even miners can panic sell. We're not alone. What will happen in the following months? We shall see.

EDIT, for clarification:

How can you sell 326% of your rewards?

When the chart says that miners sold 326% of their rewards (Bitcoin Sold vs Bitcoin Mined) it means that in addition to selling all the Bitcoin they mined during that month, they also sold from their previously accumulated reserves.

Suppose miners mined 100 BTC in June.

- If they sold exactly what they mined, they would have sold 100% of their rewards, which is 100 BTC.

- If they sold 326% of their rewards, they sold 326 BTC.

- This means they sold the 100 BTC they mined in June PLUS an additional 226 BTC from their reserves (previously mined and stored Bitcoin).

The 326% indicates that miners not only sold the newly mined coins but also a significant portion of their stored reserves.