Kaiko data: Bitcoin miners’ income has dropped sharply, and they may sell BTC to maintain operations

The latest data from cryptocurrency research and analysis company Kaiko shows that miners are facing huge selling pressure as Bitcoin mining revenue and transaction fees decline. 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 pay for costs. Kaiko researchers pointed out in the report that the halving event usually prompts miners to sell BTC because the mining process requires a lot of expenses.

In addition, another source of income for miners, transaction fees, is also declining. Data from the first week of May showed that miners' profits from transaction fees were lower than mining revenue. Analysts believe that in the current market liquidity downturn, bitcoin selling by miners may have a significant impact on the cryptocurrency market. Taking Marathon Digital as an example, the company holds Bitcoin worth $1.1 billion, and selling a small portion of it is enough to trigger violent market fluctuations.