Miners are sitting on nearly $ 2 billion in mining credit

The analysis platform Santiment indicates that the amount of ether held by miners has reached its highest level since July 2016 and even represents an all-time high in terms of value.

At 1.9 billion US dollars, Ethereum miners have a previously unknown value in their wallets. The sum comes from the ongoing activities related to the processing of transactions on the blockchain, especially the steadily increasing NFT traffic and smart contract-based transmissions from the defi sector.

All-time high in value before breaking the 2 billion wall

The 50-month high that the blockchain analysts at Santiment recognized is only a value, expressed in ether, as it was last reached in July 2016. However, this consideration disregards the massive increase in value that the ether has been exposed to since then. In terms of value, the “50-month high” of 532,750 ETH is therefore an all-time high, and it is rapidly moving towards the $ 2 billion mark. As soon as the ETH exceeds the value of $ 3,750, the sound barrier is cracked. That last happened at the beginning of September 2021 and should be expected again in autumn. The ether is currently hovering around $ 3,600.

It should be seen as a good signal that miners are hoarding their stocks. They obviously assume that this will be more lucrative than taking short-term profits. This is also supported by the fact that the network has handled six billion dollars from secondary sales of NFT in the last twelve months alone, as the crypto analysis company Messari reports. This corresponds to an increase of 350 percent compared to the same period in the previous year.

Investors with great confidence, hash rate on the way up

The internal network is clearly in good spirits with regard to further growth prospects. This is also the case externally. A current survey by Coinshares shows that fund managers continue to increase their Ethereum holdings and justify this with the “most convincing” growth prospects.

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Voyager Digital’s quarterly survey of particularly active investors recently also showed that sentiment towards crypto assets is becoming increasingly positive, despite some setbacks. Bloomberg chief analyst Mike McGlone sees it the same way. In his “Crypto Outlook” forecast report published in September, he was unimpressed by the massive corrections that the crypto market had to accept after May and issued a price forecast of $ 5,000 for Ethereum by the end of the year.

If you still do not want to believe that, you can still look at the development of the hash rate. This is a measure of the computing power used per second and shows the performance of the network. Although this value had fallen sharply after the Chinese miner exodus until the end of June, according to Etherscan it can still show an increase of 150 percent since the beginning of the year. The recent exit of the large China-based Ethereum mining pools Sparkpool and Beepool in the past few weeks actually had no effect on the network at all.

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