Public Bitcoin Miners Quietly Contribute $1.78B in Selling Pressure

Publicly traded Bitcoin mining companies have become an overlooked source of BTC selling, adding meaningful supply to the market as Bitcoin struggles to recover.

Bitcoin is down roughly 27% since the start of 2026, trading below $64,000 and trailing major traditional assets such as the S&P 500.

The decline has largely been attributed to withdrawals from U.S.-listed spot Bitcoin ETFs. SoSoValue data shows those funds have seen more than $4.4 billion in net outflows. Selling from long-dormant holders and corporate Bitcoin treasury companies, including Strategy, has also added pressure.

Public miners represent another source of supply that has received less attention. These companies earn newly issued BTC by validating transactions and securing the Bitcoin network, with some selling their holdings to cover operating costs.

According to Blockware Intelligence, publicly listed miners collectively held around 127,000 BTC at the beginning of the year. Their holdings have since fallen to about 99,000 BTC, implying sales of approximately 28,000 BTC worth roughly $1.78 billion at current prices.

Although that figure is smaller than ETF outflows, miner selling can still have a notable impact when demand is weak. Price movements are determined at the margin, so a persistent flow of additional BTC supply can weigh on the market even when the overall amount is relatively modest.

Blockware Solutions said miner selling during the early part of the year has been an underappreciated factor behind Bitcoin’s poor performance in 2026.

Rising Costs Push Miners Toward AI

Mining profitability is also under pressure, with the average cost of producing one Bitcoin estimated at around $74,300.

The difficult economics have encouraged several mining companies to explore AI and data-center opportunities, using their existing access to large-scale electricity infrastructure for alternative revenue streams.

At the same time, Bitcoin mining difficulty has declined approximately 18% from its November peak, accompanied by a prolonged reduction in network hashrate.

As some large miners leave the industry or redirect their operations, competition has eased for those that continue mining Bitcoin. Fewer participants means a larger share of block rewards for the remaining operators.

Blockware estimates that the miners still active on the network are now earning around 18% more BTC than they were 10 months ago.

The trend highlights a broader transformation in the mining sector: some companies are selling Bitcoin and reallocating their power capacity toward AI, while the decline in mining competition is improving the economics for operators that remain committed to Bitcoin production.