Miner Metrics: Puell Multiple, Hash Ribbons and Miner Flows

Indicators based on Bitcoin miners. The Puell Multiple divides daily miner revenue by its 365-day average; hash ribbons compare short and long moving averages of hash rate to flag miner capitulation; miner reserves and outflows estimate how much miners hold and sell.

Miner metrics track what Bitcoin miners earn, how much computing power they run and how many coins they sell. Because miners must sell to pay bills, their stress or comfort can hint at selling pressure in the market.

Category
Cryptocurrency and Blockchain
Reading time
3 min
Also called
Puell Multiple, Hash Ribbons, Miner outflows
Updated

Miner metrics in plain words

Miners earn block rewards plus fees, and most must sell part of their coins regularly to pay their costs.1

When hash rate leaves, difficulty drops and revenue per unit of hash rate rises; when hash rate grows, the reverse happens.2

Galaxy notes hash-based models like difficulty ribbons only work because Bitcoin uses proof of work.3

How to read miner metrics

  1. Get daily miner revenue

    Add block subsidy and fees in USD.1

  2. Puell Multiple

    Divide today's revenue by its 365-day average.

  3. Hash rate averages

    Compare 30-day and 60-day hash rate averages for hash ribbons.

  4. Know the difficulty cycle

    Every 2,016 blocks the network recalculates difficulty from block timestamps.4

  5. Watch miner flows

    Estimate coins moving from miner wallets; miners sell to cover costs.1

  6. Use as context

    Treat these as reference points, not price predictions.3

Worked examples

Example 1 — Puell Multiple

Puell 1.5

Hypothetically daily miner revenue is $60M and its 365-day average is $40M.

Example 1 — Puell Multiple — calculation
Puell Multiple$60M ÷ $40M = 1.5

Revenue well above average gives miners room to sell, since they constantly sell part of what they earn.1

Example 2 — Hash ribbon cross

Capitulation phase

Hypothetically the 30-day hash rate average is 900 EH/s and the 60-day is 950 EH/s.

Example 2 — Hash ribbon cross — calculation
Gap900 − 950 = −50 EH/s
SignalShort below long: capitulation

Falling hashrate lowers difficulty and lifts hashprice for the miners who remain.2

Example 3 — Revenue after a halving

−50%

Hypothetically a miner earns 0.0008 BTC per PH/s per day and the subsidy is cut in half with fees flat at near zero.

Example 3 — Revenue after a halving — calculation
New revenue0.0008 × 0.5 = 0.0004 BTC
Change−50%

Revenue is subsidy plus fees, so a halved subsidy hits miners directly.1

Puell Multiple vs Hash Ribbons

AspectPuell MultipleHash Ribbons
InputMiner revenue in USDHash rate
FormulaDaily ÷ 365-day average30-day vs 60-day average
SignalsMiner income stress or comfortCapitulation and recovery
Affected by halvingYes, drops sharplyIndirectly

How traders use miner metrics

Advantages and disadvantages

Advantages

  • Grounded in miners' real costs.
  • Simple ratios to calculate.
  • Hash-based data is public on chain.

Disadvantages

  • Wallet labels for miner flows are estimates.
  • Halvings distort revenue ratios.
  • Few cycles to test against.
  • Not reliable for exact price timing.

Going deeper

Read as far as you need. Each level builds on the one before it.

Miners must sell

Beginner

Mining has historically performed like a commodity industry, so many miners sell coins to pay for power and hardware.1

Difficulty feedback

Intermediate

Difficulty adjusts to keep blocks arriving at a steady pace, so a fall in hash rate is followed by easier mining.5

Limits

Advanced

On-chain indicators like these can mark rough highs and lows, but they are not precise enough to forecast market moves.3

Common mistakes

  1. Ignoring halvings

    A halving drops the Puell Multiple overnight.

  2. Treating flows as exact

    Miner wallet tagging is an estimate.

  3. Trading one signal

    Hash ribbons can give false alarms.

  4. Mixing data sources

    Providers compute averages differently.

Check your understanding

Test yourself before moving on. Each answer comes with an explanation.

Q1Revenue $30M today, 365-day average $50M. Puell Multiple?
Q230-day hash average below the 60-day suggests?

Key points to remember

  1. Miner revenue is subsidy plus fees.
  2. Puell = daily revenue ÷ 365-day average.
  3. Hash ribbons compare 30- and 60-day hash rate.
  4. Miner flows estimate selling.
  5. Use them as context, not timing tools.

Frequently asked questions

What is a low Puell Multiple?

Below 1 means revenue is under its yearly average; very low readings suggest miner stress.

Do hash ribbons predict bottoms?

They flag miner stress and recovery, but signals can be early or false.

Where do miner flow numbers come from?

Analytics firms label wallets as miners; labels are estimates.

Further learning

Sources

This article is written in our own words. The sources below support the specific facts, rules and figures marked with a number in the text. Links open the original publisher’s page.

  1. Coin Metrics. The Coin Metrics Bitcoin On-Chain Indicators Primer (opens in a new tab) Checked .
  2. Hashrate Index (Luxor). The Halving Since The Halving: Growing Bitcoin Network Difficulty (opens in a new tab) Checked .
  3. Galaxy Digital Research. Introduction to On-Chain Analysis (opens in a new tab) Checked .
  4. Bitcoin Developers (bitcoindevelopers.org). Block Chain developer guide (opens in a new tab) Checked .
  5. Satoshi Nakamoto. Bitcoin: A Peer-to-Peer Electronic Cash System (opens in a new tab) Checked .

Educational content, not financial advice. Examples use hypothetical prices and simplified costs; actual fees, margin rules and regulations vary by broker, market and country. We are not affiliated with any publisher linked above. Last reviewed . Report an error or request a source credit.