As per the data shared by Glassnode, Bitcoin miners have sent approximately $128 million in revenue to different crypto exchanges. The high distribution of this revenue highlights extremely high exchange interaction. At the same time, the analytics platform also mentioned how the amount represented approximately 315% of their daily revenue.
#Bitcoin Miners are currently recording extremely high Exchange interaction, sending an ATH of $128M to Exchanges, equivalent to 315% of their daily revenue.
— glassnode (@glassnode) June 27, 2023
Over time, minor spikes were seen in overall miner revenue sent to exchanges throughout the 2021 bull run. There was also a capitulation inflow in late 2022 as markets managed to hit their cycle bottom.
Furthermore, people believe that the latest spike has dwarfed all miners by a considerable margin. It is necessary to remember that whenever miners send Bitcoin profits to crypto exchanges, they do it in an effort to prepare for cashing out to cover their expenses and to retain their profits.
The Rising Hash Rate For Bitcoin Mining
Bitcoin mining profitability, or the hash rate, has increased over the previous week, mainly as a result of the increase in the trading price of Bitcoin. According to the analysis of HashrateIndex, the hash rate is currently $0.076 TH/s.
Despite the increase in the price of Bitcoin (BTC), miners still continue to face a considerable number of challenges. Profitability has declined by more than 30% since July and is down by a whopping 80% since the peak of the 2021 bull market. The continuous increase in hash rates, coupled with difficulty, and higher energy prices have put downward pressure on crypto mining profitability. This suggests that selling Bitcoin might prove to be an unpleasant necessity to cover expenses.
Riot Gets Its Hands on 33,280 Mining Rigs
In other news, Riot Blockchain has recently announced securing an order of almost 33,280 Bitcoin mining rigs not too long after getting into a purchase agreement with the Chinese BTC miner manufacturer, MicroBT. The CEO of the company, Jason Les, explained that the newest additions are among the most powerful and efficient miners made for mining. It was also mentioned that these models were designed specifically for immersion cooling systems.
Based on the official statement, the initial number of orders would cost almost $163 million, or $21.50 TH. Riot currently has the option of purchasing an additional 66,560 machines before the end of 2024 on the same terms. The masses believe that the partnership between the two firms is bound to secure a robust domestic supply chain throughout the US.