{"id":104106,"date":"2023-06-04T17:05:55","date_gmt":"2023-06-04T17:05:55","guid":{"rendered":"https:\/\/dripp.zone\/news\/index.php\/2023\/06\/04\/why-bitcoin-miners-gloomy-season-is-over-crypto-news\/"},"modified":"2023-06-04T17:05:57","modified_gmt":"2023-06-04T17:05:57","slug":"why-bitcoin-miners-gloomy-season-is-over-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/why-bitcoin-miners-gloomy-season-is-over-crypto-news\/","title":{"rendered":"Why Bitcoin miners&#8217; gloomy season is over\n &#8211; Crypto News"},"content":{"rendered":"<p><\/p>\n<div>\n<p>\t\t\t\t\t\t<br style=\"clear: both; display: block; float: none;\"\/><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><i><span style=\"font-weight: 400;\">Two stocks of certain Bitcoin mining firms are outperforming BTC.<\/span><\/i><\/li>\n<li style=\"font-weight: 400;\"><i><span style=\"font-weight: 400;\">While it&#8217;s not jubilation season for miners, short-term holders remain enthusiastic about the coin price.<\/span><\/i><span style=\"font-weight: 400;\"> <\/span><\/li>\n<\/ul>\n<p><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/search\/bitcoin\" data-wpel-link=\"internal\"><span style=\"font-weight: 400;\">Bitcoin [BTC]<\/span><\/a><span style=\"font-weight: 400;\">  Miners may have faced a challenging period, as several factors, including regulatory crackdowns and concerns over environmental impact, have created a long season of distress for the industry. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">However, there are indications that this murky period may be nearing its end, with some mining stocks showing signs of strength and resilience.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">According to IntoTheBlock, stock prices of the Mathent Patent Group and Riot Blockchain have outperformed BTC on a Year-To-Date (YTD) basis.<\/span><\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">2023 is off to a roaring start for <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/hashtag\/Bitcoin?src=hash&#038;ref_src=twsrc%5Etfw\" data-wpel-link=\"external\">#Bitcoin<\/a> mining!  Riot Blockchain and Marathon Patent Group, two of the largest public mining stocks have significantly outpaced Bitcoin returns this year. <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/QsvVXhleOp\" data-wpel-link=\"external\">pic.twitter.com\/QsvVXhleOp<\/a><\/p>\n<p>\u2014 IntoTheBlock (@intotheblock) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/intotheblock\/status\/1665055832126414852?ref_src=twsrc%5Etfw\" data-wpel-link=\"external\">June 3, 2023<\/a><\/p>\n<\/blockquote>\n<h3><b>Now higher than BTC<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">As of June 1, Bitcoin&#8217;s <\/span><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/why-bitcoin-will-not-retest-20000-anytime-soon\/\" data-wpel-link=\"internal\"><span style=\"font-weight: 400;\">performance<\/span><\/a><span style=\"font-weight: 400;\">  rose 64.57%.  Riot recorded a 253.98% increase while Mathent&#8217;s stock value increased by 186.26%.  Consequently, it has pegged BTC back as the best-performing digital asset of the year \u2014 a title it once held.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">One reason for this turnaround is the increased <\/span><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/bitcoin-miners-rejoice-amidst-rising-fortunes-and-declining-taxes\/\" data-wpel-link=\"internal\"><span style=\"font-weight: 400;\">revenue and fees<\/span><\/a><span style=\"font-weight: 400;\">  that miners have recorded recently.  This could be connected to the adoption of Bitcoin Ordinals.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Surely, the rise of <\/span><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/bitcoin-ordinals-reaches-milestone-with-brc-20-but\/\" data-wpel-link=\"internal\"><span style=\"font-weight: 400;\">BRC-20 token<\/span><\/a><span style=\"font-weight: 400;\">  also had its impact since the number of transactions and minting on the Bitcoin blockchain also increased.  It is noteworthy to mention that the factors highlighted above were not the only ones that have boosted the mining sector. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Rather, some of the mining firms have also taken steps to address the environmental concerns associated with the activity.  This has resulted in the adoption of greener and more sustainable practices.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Not only does this help mitigate the negative environmental impact, but it also improves the public perception of the industry.<\/span><\/p>\n<h3><b>Security and the loophole signs<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Interestingly, Glassnode data showed that the <\/span><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/studio.glassnode.com\/metrics?a=BTC&#038;category=Miners&#038;m=fees.FeeRatioMultiple\" data-wpel-link=\"external\"><span style=\"font-weight: 400;\">Fee Ratio Multiple (FRM)<\/span><\/a><span style=\"font-weight: 400;\">  had decreased to 19.38.  The FRM, calculated as the ratio of the total revenue and transaction fees, serves as a measure of the blockchain&#8217;s security when blocks disappear.<\/span><\/p>\n<div id=\"attachment_318421\" style=\"width: 1810px\" class=\"wp-caption aligncenter\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-fee-ratio-multiple-frm.png\" data-wpel-link=\"internal\"><noscript><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-318421\" class=\"size-full wp-image-318421\" src=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-fee-ratio-multiple-frm.png\" alt=\"Bitcoin fee ratio multiple\" width=\"1800\" height=\"1013\" srcset=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-fee-ratio-multiple-frm.png 1800w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-fee-ratio-multiple-frm-300x169.png 300w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-fee-ratio-multiple-frm-1024x576.png 1024w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-fee-ratio-multiple-frm-768x432.png 768w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-fee-ratio-multiple-frm-1536x864.png 1536w\" sizes=\"auto, (max-width: 1800px) 100vw, 1800px\"\/><\/noscript><\/a><\/p>\n<p id=\"caption-attachment-318421\" class=\"wp-caption-text\">Source: Glassnode<\/p>\n<\/div>\n<p><span style=\"font-weight: 400;\">Since Bitcoin&#8217;s FRM was low, it means that the asset could maintain its security budget via miners&#8217; revenue without depending on inflationary subsidy.  Conversely, if the FRM was high, then miners would require block rewards subsidies to maintain revenue.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">However, indications from the <\/span><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/studio.glassnode.com\/metrics?a=BTC&#038;category=Miners&#038;m=indicators.HashRibbon\" data-wpel-link=\"external\"><span style=\"font-weight: 400;\">hash ribbon<\/span><\/a><span style=\"font-weight: 400;\">  revealed that the worst was not yet over for the miners.  The metric uses the 30-day Moving Average (MA) to measure miners&#8217; capitulation and identify buying opportunities.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">When the hash ribbon switched from light red to dark red, then capitation could be considered over.  But as of this writing, it was not there yet. <\/span><\/p>\n<div id=\"attachment_318419\" style=\"width: 1810px\" class=\"wp-caption aligncenter\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1.png\" data-wpel-link=\"internal\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-318419\" class=\"size-full wp-image-318419\" src=\"data:image\/svg+xml,%3Csvg%20xmlns=\" http:=\"\" alt=\"Bitcoin hashrate\" width=\"1800\" height=\"1013\" data-lazy-srcset=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1.png 1800w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1-300x169.png 300w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1-1024x576.png 1024w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1-768x432.png 768w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1-1536x864.png 1536w\" data-lazy-sizes=\"(max-width: 1800px) 100vw, 1800px\" data-lazy-src=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1.png\"\/><noscript><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-318419\" class=\"size-full wp-image-318419\" src=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1.png\" alt=\"Bitcoin hashrate\" width=\"1800\" height=\"1013\" srcset=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1.png 1800w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1-300x169.png 300w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1-1024x576.png 1024w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1-768x432.png 768w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/glassnode-studio_bitcoin-hash-ribbon-1-1536x864.png 1536w\" sizes=\"auto, (max-width: 1800px) 100vw, 1800px\"\/><\/noscript><\/a><\/p>\n<p id=\"caption-attachment-318419\" class=\"wp-caption-text\">Source: Glassnode<\/p>\n<\/div>\n<h3><b>Short-term holders yearning for more have a chance<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Meanwhile, the same metric indicated that Bitcoin may have offered a good <\/span><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/bitcoin-outshines-these-commodity-assets-is-2023-the-year-of-btc\/\" data-wpel-link=\"internal\"><span style=\"font-weight: 400;\">buying opportunity<\/span><\/a><span style=\"font-weight: 400;\">,  This was because the hash ribbon had entered the white-colored zone, indicating a price momentum switch from positive to negative.<\/span><\/p>\n<hr\/>\n<p style=\"text-align: center;\">Is your portfolio green?  check the <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/calculator\/bitcoin-profit-calculator\" data-wpel-link=\"internal\">Bitcoin Profit Calculator<\/a><\/p>\n<hr\/>\n<p><span style=\"font-weight: 400;\">Additionally, short-term holders still yearned for a BTC uptick despite its recent decline from its Q1 performance.  According to Crazzyblockk&#8217;s <\/span><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/cryptoquant.com\/insights\/quicktake\/647b4e28a6f3c7291edb8c1a-Short-term-holders-still-hungry-for-profit\" data-wpel-link=\"external\"><span style=\"font-weight: 400;\">CryptoQuant publication<\/span><\/a><span style=\"font-weight: 400;\">the equilibrium level of the Spent Output Profit Ratio (SOPR) suggested the conclusion mentioned above.<\/span><\/p>\n<div id=\"attachment_318418\" style=\"width: 1300px\" class=\"wp-caption aligncenter\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14.png\" data-wpel-link=\"internal\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-318418\" class=\"size-full wp-image-318418\" src=\"data:image\/svg+xml,%3Csvg%20xmlns=\" http:=\"\" alt=\"Bitcoin short term holders SOPR\" width=\"1290\" height=\"798\" data-lazy-srcset=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14.png 1290w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14-300x186.png 300w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14-1024x633.png 1024w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14-768x475.png 768w\" data-lazy-sizes=\"(max-width: 1290px) 100vw, 1290px\" data-lazy-src=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14.png\"\/><noscript><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-318418\" class=\"size-full wp-image-318418\" src=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14.png\" alt=\"Bitcoin short term holders SOPR\" width=\"1290\" height=\"798\" srcset=\"https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14.png 1290w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14-300x186.png 300w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14-1024x633.png 1024w, https:\/\/statics.ambcrypto.com\/wp-content\/uploads\/2023\/06\/Screenshot-2023-06-04-at-09.33.14-768x475.png 768w\" sizes=\"auto, (max-width: 1290px) 100vw, 1290px\"\/><\/noscript><\/a><\/p>\n<p id=\"caption-attachment-318418\" class=\"wp-caption-text\">Source: CryptoQuant<\/p>\n<\/div>\n<p><span style=\"font-weight: 400;\">Used as an indicator of macro market sentiment, the SOPR reflects the degree of realized profits and losses moved on-chain.  The analyst noted,<\/span><\/p>\n<blockquote>\n<p>\u201cThese holders have shown a desire to be profitable and remain in the market, and the &#8216;equilibrium level&#8217; of SOPR data has recovered and improved every time it approaches and moves below the number 1 level, and we can say that these players still have interest and hope for price growth.\u201d<\/p>\n<\/blockquote><\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Two stocks of certain Bitcoin mining firms are outperforming BTC. While it&#8217;s not jubilation season for miners, short-term holders remain enthusiastic about the coin price. Bitcoin [BTC] Miners may have faced a challenging period, as several factors, including regulatory crackdowns and concerns over environmental impact, have created a long season of distress for the industry. [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":104107,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[230,225,221,227,226,228,229,60,223,224,222],"class_list":["post-104106","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-brave","tag-coinbase","tag-crypto","tag-decentralised","tag-decentralized","tag-decentralized-exchange","tag-erc-20","tag-featured","tag-meme-coin","tag-robinhood","tag-solana"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/104106","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=104106"}],"version-history":[{"count":1,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/104106\/revisions"}],"predecessor-version":[{"id":104108,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/104106\/revisions\/104108"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/104107"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=104106"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=104106"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=104106"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}