Data shows that Bitcoin miners can get a fresh 20% BTC price boost before capitulating

Miners pay around $34,000 in production costs, plus transaction fees. Miners don’t have to worry about another $40,000 support challenge for BTC/USD.
Bitcoin (BTC), a cryptocurrency that is used to mine Bitcoin (USD), is growing at an unprecedented rate at current price levels. Despite falling $27,000 below its all-time highs BTC is still attractive to miners. The hash rate, which is an estimate of the total processing power used to mine Bitcoin (BTC), reached new all-time highs on Tuesday. Venturefounder referred to the BTC production cost indicator provided by Charles Edwards, CEO, Capriole. Venturefounder found that the current breakeven point is $34,000. He added that the worst Bitcoin dumps were caused by miners capitulation (December 2018, February 2020). When BTC fell below production cost, it is at risk of miner capitulation. “BTC was at high risk of miner capitulation at $30k per month in May. Current production cost is $34k. This is 20% lower than the current price. “Bitcoin production costs annotated chart (screenshot). Source: @venturefounder/TwitterAs such, there is no reason for miners to sell thanks to the profitability — as well as future perspective — of their operations.In a Medium post about his indicator from 2019, Edwards additionally noted that transaction fees awarded to miners give them an additional cushion against spot price incursions below production cost. Source: Blockchain. The worst-case scenario estimates of well-known analysts foresee a Bitcoin price floor no lower than $30,000. Source: Blockchain. According to well-known analysts, the worst-case scenario for Bitcoin is no lower than $30,000.

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