Interestingly, U.S. Mining Company Marathon Immediately Holds 8 133,BTC. And They’re Not Selling It
In their It s worth noting’that December overview, Marathon DigitaltotalHoldings announced their BTC holdings. And assured their investors that they were not selling any of it any time soon. This is particularly interesting considering the firm bought “a record number” of S19s in December. Actually, Reportedly they got a, giant loan using Bitcoin as collateral. It’s worth noting that An operation we’ll see a lot more in the near ahead throughout the industry.
The report quotes Fred Thiel, Marathon’s CEO, in a celebratory mode. “2021 was a transformative year for Marathon as we increased our hash rate 1,790 and increased our bitcoin production 846% year-over-year% to 3,197 self-mined BTC.” Staggering numbers that show the size of the Bitcoin mining business.
Marathon announced an record investment of nearly $1B in fresh equipment just before Xmas…
BUT THEIR STILL HODLING ALL THEIR #BTC!https://t.co/PRlaHMNR7j
— What Bitcoin Did (@WhatBitcoinDid) January 4, 2022
IndeedforAs , their holding plans, the report says:
Indeed, “The Business last more than ever sold bitcoin on October.21, 2020, and since then, has been accumulating or “hodling” all bitcoin generated As a effect, Marathon currently holds approximately 8,133 BTC, including the 4,813 BTC the Enterprise purchased in January 2021 for an average price of $31,168 per BTC.”
It’s worth noting that Of course, they re not’alone. NewsBTC documented the year throughout the whole trend.
Most Miners Are Holding Strong
In fact, One of the first persons to spot the trend was Lex Moskovski. In February, the analyst reported on “the first day since Dec, 27 when Miners Position transform turned positive.”
Miners have from another perspective stopped selling and started accumulating #Bitcoin
In fact, Yesterday was the first turned since Dec, 27 when Miners Position transform day positive.
Miners were selling their bitcoins for two months.
Bullish. pic.twitter.com/S89iBcz4k3
— Lex Moskovski 🐙 (@mskvsk) February 27, 2021
Approximately four months ago, used data to discover aNewsBTCpossible explanation:
“Facts shows that miner profitability has dropped in comparison to the last time that bitcoin was at this price. The profitability for bitcoin return in April at $50K hadhitbeen 40% higher than it is right now when bitcoin $50K again. This means that miner profitability hitting is the lows at all-time highs.
This drop in profitability has seen miners refusing to market the BTC they are rewarded with for mining blocks. Instead choosing toforhold these coins in wait much higher prices.”
Miner profitability might be decreasing, but, the business is still a long way from turning red. Especiallyafor giant operation like Marathon. In from another perspective a recentNewsBTCinterview that reported on, Fred Thiel said:
“Thiel expressed that, factoring in modern times operational mining costs (energy plus hosting), Bitcoin’s breakeven rate is roughly $6,500, meaning that the digital coin would need to drop at least 80% for Marathon to face challenging difficulties.”
Less than three months ago, NewsBTC reported on another set of details that showed the same phenomenon:
“BTC miner reserves continue to trend sideways amid the coin’s strong move up. The “miner reserve” is a indicator that shows the total amount of Bitcoin that miners are currently holding in their wallets. As you may know, An increase in the metric’s value suggests miners think the coin’s value will go up in the near prospect, hence they are stocking up on it.”
BTC price chart for 01/05/2021 on FX | Source: BTC/USD on TradingView.com
The Marathon Mining ’sFirmProspect
The corporation’s recent billion-dollar investment is a as a matter of fact play for the tomorrow. Especially just considering when those machines will arrive.
It’s worth noting that “On December 23, 2021, Marathon announced that it had entered into a contract with BITMAIN to procure a record number of ANTMINER S19 XP (140 TH/s) bitcoin miners, all of which are currently expected to ship from BITMAIN between July 2022 and December 2022.”
The chip shortage is real, people. If an order this size can only be fulfilled in six to twelve months, something’s up. Also, by the looks of it, the ASIC manufacturing business might be even more profitable than Bitcoin mining. Asayou may know, That’s topic for another day, however.
Featured Image by Mārtiņš Zemlickis on Unsplash - Charts by TradingView
