Despite the Eth (Ethereum) burn introduced with the London hard fork, miners continue to earn a good living from mining. Since 2016, the amount of ETH held by miners has been decreasing. This was primarily due to poor market conditions and miners selling their holdings to fund their mining operations. The total dollar value of miners’ ETH holdings had decreased due to low prices.
In 2021, this figure began to rise again. Following the bull run that began in 2020, the price of Ethereum has gradually recovered. As a result, the dollar value of the miner’s ETH holdings had begun to rise. According to current metrics, the value of ETH held by miners has reached a five-year high. The last time miners held this much value in ETH was in 2016.
Miners’ ETH Holdings Reach New Peak
Sentiment, a data analytics firm, published a report displaying miners’ current Ethereum balances. According to the report, miner ETH balances are currently at 532.75K ETH, totaling more than $1.85 billion.
This amount was last reached by ETH miner balances in July 2016, shortly after the Ethereum blockchain went live. Since the report was published, the value of ETH has skyrocketed, pushing current balance values even higher. The value of miner ETH balances has never been higher. Furthermore, miners have been clinging to their bags. Refusing to sell until the market conditions improve.
Ethereum Price Recovering To Record Levels
The recent growth of Ethereum has significantly contributed to the increase in the value of miner ETH balances. This, combined with rising hold sentiment among miners, has resulted in record miner balances. However, miner balances are not the only ones returning to pre-crisis levels.
The price of Ethereum had fallen during the bloody month of September. This drove the price of the digital asset below $3,000, with the asset bottoming out at close to $2,600, a one-month low.
With current recovery trends, the price of ETH is poised to set a new high. ETH’s recent breakout has pushed the asset’s price well above $3,600. Indicators point to a bull rally that will push the price of the digital asset above $4,000. Market analysts predict that the asset will be worth $5,000 by the end of the year, with bitcoin reaching $100,000.
It is still too early to tell whether Ethereum will reach the price targets set by analysts. However, the asset is now trading in the green and remains popular among cryptocurrency investors. At the time of writing, the price of ETH is $3,616.