Bitcoin Forum

People speculated on reddit that the price went up 7% because the difficulty went up 20% resulting in 20% less coins flooding into the market.
I argue that miners are holders as they already made a long term commitment.

Please help me find out the truth :)

Im not a miner, but im sure they dump to pay the costs and keep most of the gains for the future (if they are intelligent)

So you say they dump just as much as they have to keep their operation running? Do you think they dump all coins until they break even and then as much as they spend on electricity?

I totally disagree but just want to understand your concept. According to you I am stupid :( I'm glad I helped out the network back then instead of buying the coins on an exchange and made a profit thanks to not being intelligent back then.

I think that miners are instasellers to recover and keep profits as a hold

This makes sense if they bought with credit. If not, why would the first bitcoins be any different than the later ones?

I mine and hold, and believe Bitcoin have a bright future.
Profit is not much by mine and instant sell.

Most miners are dumpers for the simple reason that they have massive electric bills to pay every month.

Miners have to sell their mined coins to pay the working costs of their rigs, I don't think they are hodlers at all.

Can't speak for all miners, but personally I'm not only a HODLer, but a HOARDER.   8)

I don't spend a single satoshi (actually I have, but recouped it back mining/selling equipment), just keep hoarding until the eventual pop, and will start spending BTC once it's universally accepted as payment everywhere.

The industrial scale miners that now dominate mining have to pay their bills sooner or later. I'm sure they'd LIKE to hold (in general), but given how cut-throat it has become I doubt they have a choice and have to sell almost all their mined BTC pretty frequently. Especially since the price has tended to languish, which forces them to dump more BTC to pay the power company, which just aggravates the downward pressure on the price.

Once the industries' weaker mining concerns start dropping out and those with deep pockets remain, selling pressure will subside and you'll start seeing major gains in BTC price. But first there has to be a bloodbath. (Geopolitical events or a national financial crisis can trump this as well, of course.)

Personally I spend real cash on equipment (consider it my investment) then I hold the btc.  The only thing I have used btc on is miners where I couldn't pay cash.

I think most miners are holders especially if you consider miners don't make any money if you just sell the btc.  I am mining for the EV of where btc could go not where it is today.

Intelligent person detected.

I mine and sell instantly, I guess I'm stupid...

I'm miner. I do not directly sell the coins, and also does not hold for too long.
When I need some cash, I'll sell it.

Difficulty increase doesn't mean less coins are mined.  In fact, if there's a massive influx of hashrate more coins will be mined per hour than before, until the next difficulty adjustment.

My friend & I miners and I sale all to what I need to in order to pay my bills.

I'm not a miner but as they posted before, miners have to sell all (or a part of) their earnings to cover the expenses.

I very much disagree with this logic. Even though difficulty increased by 20%, the target block time stayed the same.

I think that today's miners are businessmen who need to pay for the current expenses associated with running a miner (mainly electricity) so they will sell at least a portion of their bitcoin produced.

I myself agree with this. I also feel that most miners are in this boat

I think the majority of them are, but there are tons of expenses that need to be paid, electricity and space. I got out of mining end of last year and the big farms are the ones that are going to win, but when prices are going down, like they are, they need to hold, but I think they will start selling as the price goes up. But when us little guys used to mine with our GPUS  or FPGA's 99 percent of my coin was held, but its hard to do that when your  electricity bill is in the tens of thousands per week or month..

Imho, big miners hodl a little and small miner hodl what they can.. asic really changed mining.. Pretty soon it will be down to just a handful of companies...

Well when I ran my mining operation I was holding almost everything because I could easily afford all the costs (loan for a long time without any interest - connections help). When the price spiked I sold everything then and bought back what I sold when the price dropped, so I've repaid everything and kept my holdings.
I'm assuming that there is a portion of the miners who are holding the majority, and there is also a part of them who are dumping everything instantly.

Hmm that is a tough question to answer giszmo
The reason is that miners need to cover their operating costs and sell bitcoin to the market
Else they will hold those coins and take fiat costs in exchange.

That said those mining farms that have scale do convert a fraction of their coins towards electrical and operating costs, such as the Datatank farms and similar projects, in my opinion small scale miners hold large scale miners do both.
They may hold in a short to mid term and then sell at significant price increases.

I personally dont like spending my coins right after the price went down so much. So if more people doing the same, it lower supply a bit, thus increasing price

Beyond paying off the electricity cost and the invested capital to mining rigs, I will hold as much as I have mined.

I am a miner, and I agree I do hoard, but I sell some of my stock frequently too.

I am a miner and I agree I do hold lot of coins. I sell only at time of price hike.

 
This poll lead nowhere.

Most of the hashrate is owner by huge corporates that doesn't take any unnecessary risk and convert to FIAT ASAP therefore miners are dumpers.

At current bitcoin prices most small/home miners will probably be holders. In terms of large miners, including corporations they will most likely have to liquidate a large amount of their coins every month to cover space and electricity costs, but even they most likely are holding onto whatever they can due to the currently low price.

"I never mined"

That suits for me. I only buy low sell high. Sort of hoarder..

As mining becomes less profitable, you need to learn where the best places are to use your miner. Just having a mining ASIC on a pool isn't going to cut it anymore. Multipools are taking root now, but to me, IPOMiner.com is potentially the most profitable because it focuses on new coins that just got released. If you mine and dump the coins to bitcoin once it's at the highest you think the coin will be worth, then you'll make more money potentially. IPOMiner only focuses on promising new coins, so they aren't crap coins that have low yields. I wrote a great article on CCN (http://www.cryptocoinsnews.com/news/bitcoin-mining-guide-choosing-profitable-mining-pool/2014/08/17) about this.

Totally depends! Hobby miners that buy a single miner or operate a small farm at home most likely will hold on to their coins or use them to buy something, gamble, fund IPOs or something. Big mining farms will make sure to at least cover their running expenses in order to keep afloat in case of a price drop.

I think that miners used to hold as much as they can after accounting for expenses (operating costs used to be very little). Today's miners are more like investors as they are very concerned about ROI and their various costs. 

I mine and sell immediately. Very new and small time. I need cash for equipment and bills. Hell, I need gas to get to my day job. Seems like when equipment is offered for BTC instead of USD the sellers view of the exchange rate makes the equipment cost more than if I pay USD. At least so far. Guess I'm stupid for now.