Experts see bullish signals in miner data

Bitcoin (BTC) has rebounded sharply over the past three weeks, climbing at least 25% from below $74,000 on April 9, below $74,000, and over $96,500 in transactions as of early May.

The rebound is conducted against the background of reduced volatility, dry supply of BTC in AC, and increased chain accumulation.

Miner indicators signal to the bottom

Aside from price action, Bitcoin’s biggest savant Robert Breedlove sees a deeper story, one rooted in miner economics, long-term behavior and global liquidity trends. According to him, BTC may be on the cusp of the big bull running, with key indicators flashing green.

In an article on X, the podcast creator focused on a key metric, the average miner production cost, which he said has historically been a reliable indicator at the bottom of the market. He noted that since 2016, the cost of average miner breakeven has often coincided with the bottom of the main cycle.

The premise is not out of reach, because assets rarely trade below their production costs in a reasonable market. This factor usually introduces unprofitable miners, lowering supply and ultimately raising prices.

Currently, the average market break line marks another floor that has the potential to lay the foundation for fresh bull running, Breedlove cited Blockware data.

Another optimistic signal comes from long-term holders of Bitcoin. These investors refused to sell despite volatility. Analysts noted that over the past 30 days, such holders have accumulated 150,000 BTC, creating perfect conditions for supplying shock and final price pumps.

Data on the chain shows that whales bought about $4 billion in Bitcoin in the last two weeks of April, a trend similar to a reinflow trend that continues to accumulate from April 17 to April 30.

Meanwhile, the exchange’s flagship cryptocurrency volume has dropped to five-year lows. “Bitcoin sellers have run out of sellers between $80,000,” Breedlove said.

Liquidity can inspire BTC prosperity

Further supporting his sunny prospects is a macroeconomic backdrop and is very beneficial to BTC. Market observers draw attention to the high correlation between cryptocurrencies and the liquidity of the US dollar and global Fiat, a view that is often brought by former Bitmex CEO Arthur Hayes.

As central banks ease control and rising global liquidity, the “What is Currency” moderator expects more capital inflows into risky assets, including crypto.

According to Breedlove, the rise of ETFs, institutional custody solutions and BTC-backed financial products will only amplify this impact, making it easier for new funds to flow into cryptocurrencies.

“Bitcoin is highly correlated with Fiat liquidity – with the increasing number of ETFs, Bitcoin Treasury companies and convertible bonds, it provides greater access to new liquidity into the Bitcoin market.”