June has been a challenging month for Bitcoin and its investors, marked by significant price declines in the flagship cryptocurrency. Recent developments indicate that Bitcoin miners have played a pivotal role in these downturns by initiating a wave of sell-offs.

Bitcoin Miners' Rapid Selling Activity

According to market intelligence platform IntoTheBlock, Bitcoin miners have collectively sold more than 30,000 BTC, equivalent to $2 billion. This selling spree represents the fastest pace of sell-offs by miners in over a year and has been triggered by the recent halving event. The event reduced miners' rewards from 6.25 BTC to 3.125 BTC, tightening their profit margins significantly.

Bitcoin's price has shown tepid movement since reaching a new all-time high in March, exacerbating miners' financial pressures. Faced with operational costs, many miners opted to sell off their holdings rather than speculate on further price appreciation.

This mass sell-off has exerted considerable downward pressure on Bitcoin's price, which has declined from approximately $70,000 at the beginning of the month to below $63,000 currently.

Crypto analyst Willy Woo underscored the impact of miners' sell-offs on Bitcoin, suggesting that the cryptocurrency may only recover once weaker miners exit the market and hash rates stabilize. He noted that inefficient miners might face bankruptcy, while others may upgrade to more efficient hardware.

Despite expectations of a recovery in Bitcoin's price once miners conclude their sell-offs, the ongoing selling pressure could push Bitcoin below the psychological support level of $60,000.

Another Factor Contributing to Bitcoin's Potential Downtrend

Crypto analyst Ali Martinez highlighted that a significant number of addresses purchased 3.03 million BTC between $64,300 and $70,800, forming a substantial supply barrier. Martinez warned that holders in this range might sell their holdings to mitigate losses, further intensifying the downward pressure on Bitcoin.

Bitcoinist also reported that Bitcoin fell below the realized profit threshold of short-term holders at $66,200, indicating potential selling pressure from this investor category.

Despite these challenges, market observers anticipate Bitcoin to rebound strongly once selling pressures subside, although short-term risks remain if selling persists.