joaowedson
Miners facing capitulation
Faced with the current price of Bitcoin and the high cost of mining in several countries. Miners are being forced to sell their positions. In the following analysis, I will show some essential indicators to evaluate the behavior of miners according to the price action. Analyzing the short-term inflows and outflows of Miners' wallets, it is possible to identify a high value of outflows which may cause a drop in price or an increase in volatility. The MPI indicator (Miners' Position Index) shows that a high value means miners are sending out more coins than usual, as it measures miners' outflows (USD) against the 1-year moving average of outflows. The Miner Selling Power research indicator is excellent, as it compares total miner output divided by total miner supply. It thus clearly points out where miners decide to sell their positions.