Contrary to popular belief, Bitcoin’s recent price decline is not driven by miner selling. Data from CryptoQuant shows miner selling pressure has been falling since early 2025, suggesting the downturn is tied to weak market demand, leaving BTC vulnerable to further downside absent a return of buyer interest.
Bitcoin’s recent price decline was not caused by miners, despite a common market narrative linking it to distressed operations. The downturn may instead be tied to weak overall demand in the market.
A contrarian view from CryptoQuant indicates the Miner Supply Ratio, tracking BTC sent from miners to exchanges like Binance, has been steadily falling. This means miners are selling less, not more, even as Bitcoin’s price has dropped.
Additional data shows Miner Selling Power has also fallen lower in recent months, reducing distribution from mining entities. Spikes in this metric typically accompany sell-offs, but that pattern has been absent in the current phase.
Similarly, the Miner Position Index has been subdued with only short spikes. The selling pressure is likely coming from elsewhere, such as ETF investors or large holders.
The market is transitioning from a supply-driven to a demand-driven environment. Despite tougher post-halving supply conditions, Bitcoin is trending lower because the market lacks sufficient demand to absorb even limited distribution.
