The bitcoin exchange rate has fallen below $11,000: miners and strong dollar keep putting pressure on it
Miners may cause the BTC exchange rate to collapse because of competition
Data from CryptoQuant proves that mining pools have transferred large amounts of bitcoin to exchanges.
On September 2, the Poolin, Slush and HaoBTC pools moved 1,630 BTC (about $18,5 mln) to exchanges. The indicator is above the average daily value — the transactions started at the moment when the bitcoin price fell below the level of $11,500.
CryptoQuant Head Ki Young Joo supposed that miners may push the market through to push out competitors.
“I think it’s going to be the war of miners between those who want a Bitcoin price rally and those who don’t. As I know, some Chinese miners already realize their mining profitability (return on investment), and they might not want new mining competitors joining the industry because of the bull market”, — he remarked.
Dollar is getting stronger and keeps putting pressure on bitcoin
Cointelegraph analyst Joseph Young points out that the dollar index has rebounded from its multi-year support zone sending down the exchange rates of bitcoin and gold.
Dollar has become stronger since the beginning of September sending bitcoin down from $12,000 to $10,400. The European Central Bank stated this week that it would seek to compensate the growth of euro. Young notes that it will also support the US dollar and undermine the positions of bitcoin and gold even more.
“Currency analysts believe the ECB could continue to “dampen” the strength of the euro. In the short term that could cause the dollar to rally, which might place selling pressure on Bitcoin and gold”, the expert concludes.