Kaiko: Bitcoin miners' income has dropped significantly, and they may sell Bitcoin to maintain operations

Kaiko's latest data shows that as Bitcoin mining revenue and transaction fees decline, miners are facing huge selling pressure. Bitcoin miners' income mainly comes from two aspects: mining rewards and transaction fees. However, affected by the halving of Bitcoin rewards in April (block rewards dropped from 6.25 BTC to 3.125 BTC), miners have to sell Bitcoin to cover costs. Kaiko researchers pointed out in the report that halving events usually prompt miners to sell BTC because the mining process requires a lot of expenditure. In addition, transaction fees, another source of income for miners, are also on a downward trend. Data from the first week of May showed that miners' profits from transaction fees were lower than mining revenue. Analysts believe that at a time when market liquidity is declining, potential Bitcoin selling by miners may have a significant impact on the crypto market. Take Marathon Digital as an example. The company holds $1.1 billion worth of Bitcoin. If these mining companies sell a small part of it, it will be enough to cause violent market fluctuations. (The Block)