Yeliz Akmaca 
Bitcoin Miners Sold More BTC Than They Produced in April
Bitcoin miners sold more BTC than they produced in April, reaching the highest sell-off rate since the 2022 bear market. According to TheMinerMag, publicly traded miners sold 115% of their production, marking a significant record.
This aggressive selling came just before Bitcoin hit an all-time high of $109,000 in May. However, this price surge did not deliver the expected revenue increase for bitcoin miners. Rising hashrate and declining transaction fees significantly reduced bitcoin miners income. As a result, many companies rapidly sold off their reserves to stay afloat. Notably, the 15,000 BTC sale on April 7 was the third-largest outflow of the year.
Hashrate Rises, Profitability Declines
Analysts Jonathan Petersen and Jan Aygul stated, “BTC mining profitability fell 6.6% in April due to a 6.7% increase in network hashrate.” This statement clearly highlights the challenges faced by the industry.
According to a Jefferies report, U.S.-based publicly traded mining companies produced 3,277 BTC in April, a notable decline from 3,534 BTC in March. Their share of the network also dropped from 24.8% to 24.1%. Hashprice (earnings per unit of computing power) fell from $63/PH/s in December to $55/PH/s in April. This decline directly impacted mining revenues, forcing companies to sell BTC.
Bitcoin Nears $110K as Institutional Interest Surges
Despite these challenges, some companies continue to expand capacity. CleanSpark increased its hash power to 42 EH/s, maintaining its growth strategy. MARA Holdings, with 57.3 EH/s, remains the industry leader. However, these investments often create more operational pressure in the short term rather than boosting revenue. Still, they stand out as a key strategy for firms aiming for long-term positioning. Rising energy costs, tax pressures, and intensifying competition continue to challenge mining companies. Nevertheless, Bitcoin’s price increase still offers promising signals for the sector.
The high rate of BTC sales by miners in April is a clear indicator of market pressure. Declining profitability, rising hashrate, and low transaction fees pushed companies to sell more than they produced.
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