Crypto analyst and influencer Willy Woo says miners will no longer be the largest sellers of Bitcoin after the halving, an event that will soon reduce the rate of new BTC entering the supply.
In a tweetstorm, Woo says that crypto exchanges will soon take over the role as the biggest source of selling pressure once block rewards are halved.
“Post this 2020 halvening miners will cease to be the biggest sellers of Bitcoin. It’ll be the dawn of the crypto exchange as the leading seller.
The biggest sell pressure on Bitcoin will soon be from exchanges selling their BTC fees collected into fiat.”
The on-chain analyst says that crypto exchanges are essentially tax agents that collect fees in BTC from traders.
Woo estimates that exchanges extract 1,200 BTC per day from trading fees.
Meanwhile, miner block rewards will drop to 900 BTC per day from 1,800 BTC per day after the third halving, as BTC slowly moves toward its total supply cap of 21 million coins.
As for the source of his figures, Woo says he’s engaging with over-the-counter crypto trading desks to compile the numbers.