Bitcoin Miners’ Unprecedented Reserves Threaten Short-Term Liquidity

In a striking departure from previous bull markets, Bitcoin miners, especially those from the so-called Satoshi era, are bucking the trend of profit-taking. Instead, they are accumulating reserves at a pace not seen in years. According to on-chain analytics from CryptoQuant, miners have added 4,000 BTC to their holdings since April 2025, even as Bitcoin prices repeatedly set new records above $100,000.

This accumulation brings the total reserves of mid-sized miners to 65,000 BTC, the highest since late 2023.

What Does the Miner “Hodl” Trend Mean for Bitcoin’s Price

The reluctance of miners to sell into rallies could have profound implications for Bitcoin’s price dynamics. Historically, increased miner selling has signaled market tops, while accumulation often precedes sustained bullish momentum. However, with miners “extremely underpaid” by some metrics, the current trend is more nuanced.

Daily miner revenues have dropped to $34 million as of June 22, 2025, the lowest since April 20, 2025, due to declining transaction fees and a slight pullback in Bitcoin’s price.

Did you know?
Bitcoin’s block subsidy halving event in 2024 reduced miner rewards by 50%, making each block less profitable to mine. Despite this, miners have managed to maintain healthy margins by optimizing operations and, in some cases, leveraging renewable energy sources to reduce costs.

Can the Market Absorb Reduced Miner Selling

The sharp reduction in miner outflows from a daily peak of 23,000 BTC in February 2025 to just 6,000 BTC currently poses a challenge for market liquidity. With fewer coins entering exchanges, the available supply for buyers is constrained, potentially amplifying price volatility. Satoshi-era miners, in particular, have sold only 150 BTC in 2025, compared to nearly 10,000 BTC throughout 2024.

This dramatic shift suggests a new level of confidence or caution among the industry’s longest-standing participants.

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How Are Miner Operating Margins Impacting Their Decisions

Despite lower revenues, miners are maintaining an average operating margin of 48%, according to CryptoQuant. This healthy margin allows them to weather periods of lower profitability without resorting to large-scale selling. The recent 3.5% drop in network hashrate over the past ten days, the largest since July 2024, reflects some strain, but not enough to force significant capitulation.

Miners appear to be prioritizing long-term holding over short-term gains, a strategy that could reshape market expectations.

Will the Current Miner Behavior Lead to a Supply Shock

The combination of minor accumulation and reduced selling raises the specter of a supply shock. If this trend continues, the market could face a shortage of available Bitcoin, especially if institutional and retail demand remain robust. Such a scenario could drive prices even higher, but it also increases the risk of sharp corrections if miners suddenly decide to offload large amounts of BTC.

For now, the market is in uncharted territory, with miner behavior defying historical patterns.