MARA Stock Falls 18% as Company Transfers 1,318 BTC

The transfers raised concerns among traders watching for forced miner selling. Crypto markets have experienced extreme volatility following this weeks liquidation-driven selloff.

Timing Raises Questions

Large bitcoin transfers from miners can mean different things. They could be routine treasury management, custody reshuffling, or collateral positioning. But traders often view them as potential selling pressure in thin markets.

The Two Prime transfer stands out because it involves a credit and trading firm. MARA could be posting collateral or entering a trading strategy rather than selling outright.

The context makes these moves more worrying for investors. Bitcoin has plunged nearly 50% from its peak above $126,000 last year.

Bitcoin now trades about 20% below the estimated $87,000 production cost for miners. This creates intense financial pressure across the mining sector.

Trading below production cost has historically marked bear market conditions. Miners must decide whether to sell holdings to cover operating expenses or hold through the downturn.

Mining Stocks Take Heavy Losses

MARA stock fell 18.72% Thursday to close at $6.73 on Nasdaq. The stock has dropped 34.72% over the past month as crypto prices tumbled.

The broader mining sector saw similar pain. IREN shares declined 11.46% while CleanSpark dropped 19.13% Thursday.

Bitcoin miner daily revenue fell to $32.62 million as of Wednesday on a seven-day moving average. This compares to $41.5 million just two weeks earlier.

The revenue decline shows the profitability squeeze hitting miners. Lower bitcoin prices directly hurt economics since miners sell coins to cover electricity and operational costs.

Bitcoin fell 5.8% over 24 hours to trade at $66,417 as of 1:00 a.m. ET Friday. The price briefly touched $60,000 Thursday, a weekly low that rattled markets.

Market Watches Miner Behavior

Traders remain focused on onchain data for signs of miner capitulation. Sustained selling from major miners could push bitcoin lower in already fragile conditions.

The profitability squeeze is forcing tough decisions across the industry. With bitcoin trading below mining costs, companies face pressure to sell inventory or secure financing.

MARAs $87 million bitcoin movement across multiple counterparties shows the challenges facing miners. The company moved coins to trading desks and custody venues over a 10-hour window Thursday as markets sold off.

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