Bitcoin Miners Approaching End of Capitulation – CryptoQuant

Ki Young Ju, the founder and CEO of the analytics platform CryptoQuant, has expressed optimism about the stability of Bitcoin’s network hash rate, indicating that the current phase of miner capitulation is almost over. The business leader also highlighted that the cost of mining in the U.S. is approximately $43,000 per Bitcoin. However, Ju noted that while macroeconomic risks persist, the potential for forced cryptocurrency sales remains a concern, according to Bits.media.

Stability and Challenges Ahead

Despite the challenges, Ki Young Ju believes that the Bitcoin network’s hash rate is approaching historical highs and is likely to remain stable. He acknowledged the macroeconomic risks that continue to loom over the market, which could lead to forced sales of cryptocurrencies. Ju emphasized that if bearish trends persist for the next two weeks, the industry’s recovery may be prolonged indefinitely.

Ju pointed out the notable influx of Bitcoin into custodial wallets, with long-term holders increasing their addresses by 404,000 BTC, including 40,000 Bitcoins added to U.S.-based spot Bitcoin ETFs over the past month. Meanwhile, veteran whales have sold nearly all their holdings to new investors, alleviating pressure from large, established investors, while retail investors have largely pulled back from the market.

The Market’s Underlying Dynamics

Ju also stated that “something is clearly happening behind the scenes,” suggesting that the dynamics of the market are shifting in ways that are not yet fully understood. He believes that the full implications of these changes will become clearer next year.

Overall, after a significant correction, Bitcoin has not exhibited a clear trend, according to Ju. The first cryptocurrency appears to be in a state of flux, without any evident directional movement.