{"id":394486,"date":"2022-01-15T14:40:20","date_gmt":"2022-01-15T11:40:20","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/bitcoin-miners-can-take-fresh-20-btc-price-hit-before-capitulating-data-shows\/"},"modified":"2022-01-15T14:40:20","modified_gmt":"2022-01-15T11:40:20","slug":"bitcoin-miners-can-take-fresh-20-btc-price-hit-before-capitulating-data-shows","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/bitcoin-miners-can-take-fresh-20-btc-price-hit-before-capitulating-data-shows\/","title":{"rendered":"# Bitcoin miners can take fresh 20% BTC price hit before capitulating, data shows"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a350e60107ff\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a350e60107ff\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-miners-can-take-fresh-20-btc-price-hit-before-capitulating-data-shows\/#Miner_capitulation_behind_%E2%80%9Cworst%E2%80%9D_BTC_price_dips\" >Miner capitulation behind &#8220;worst&#8221; BTC price dips<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-miners-can-take-fresh-20-btc-price-hit-before-capitulating-data-shows\/#Mining_shrugs_off_spot_price_moves_this_year\" >Mining shrugs off spot price moves this year<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Bitcoin miners can take fresh 20% BTC price hit before capitulating, data shows <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-128018ef>The Bitcoin (BTC) mining\u00a0business  is bigger than ever at current price levels, and new data shows just how unlikely a mass miner sell-off really is.<\/p>\n<p>As <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/venturefounder\/status\/1482041037942145024\">noted<\/a> by popular <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Twitter<\/a> account @venturefounder on Jan. 14, even at $42,000, the BTC\/USD trading pair is around 20% above miners&#8217; cost price.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Miner_capitulation_behind_%E2%80%9Cworst%E2%80%9D_BTC_price_dips\"><\/span>Miner capitulation behind &#8220;worst&#8221; BTC price dips<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Despite falling a full $27,000 below all-time highs, BTC is more enticing than ever for miners. <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.blockchain.com\/charts\/hash-rate\">Hash rate<\/a>, an estimate of the total processing power dedicated to mining,\u00a0reached new all-time highs this week.<\/p>\n<p>Those concerned that a fresh BTC price dip could pressure miners into selling, meanwhile, received fresh assurances via data covering how much BTC\/USD should trade at for them to break even.<\/p>\n<p>Referencing the BTC production cost indicator from Charles Edwards, CEO of asset manager Capriole, venturefounder revealed that the breakeven point currently stands at $34,000.<\/p>\n<p>&#8220;The worst dumps Bitcoin ever had were due to miners capitulation (December 2018, March 2020), when BTC fell below production costs, it is at risk for miner capitulation,&#8221; he added in comments. <\/p>\n<blockquote><p>&#8220;BTC was at risk for miner capitulation at $30k in May. The current production cost is $34k, 20% below current price.&#8221;<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/venturefounder\/status\/1482041037942145024\/photo\/1\"><\/a><\/p><\/blockquote>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-01\/71de0155-88cd-46bf-8caf-7897bfb2a1fb.png\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>Bitcoin production cost annotated chart (screenshot). Source: @venturefounder\/Twitter<\/em><\/figcaption><\/figure>\n<p>As such, there is no reason for miners to sell thanks to the profitability \u2014 as well as future perspective \u2014 of their operations.<\/p>\n<p>In a Medium <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/medium.com\/capriole\/bitcoins-production-cost-88d889462ea7\">post<\/a> 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.<\/p>\n<p>&#8220;Historically, the electrical cost to produce a Bitcoin has represented a price floor in the Bitcoin market price,&#8221; another insight reads.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Mining_shrugs_off_spot_price_moves_this_year\"><\/span>Mining shrugs off spot price moves this year<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>As Cointelegraph reported, miners are indeed voting with their wallets as BTC consolidates below $50,000.<\/p>\n<p><strong><em>Related:\u00a0Bitcoin cycle is far from over and miners are in it for the long haul: Fidelity report<\/em><\/strong><\/p>\n<p>Rather than selling, miners <em>en masse<\/em> have been\u00a0accumulating BTC more this month and last than during the highs.<\/p>\n<p>This speaks both to a healthy balance sheet and resolve over the future \u2014 fears of economic difficulties on the horizon are not currently weighing on the mining sector.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-01\/df5760b6-b924-4a22-bb70-a74cb629530b.png\"><figcaption style=\"text-align: center;\"><em>Bitcoin hash rate chart. Source: Blockchain<\/em><\/figcaption><\/figure>\n<p>Going forward, current worst-case scenario estimates among well-known analysts foresee a BTC price floor no lower than $30,000.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/bitcoin-miners-can-take-fresh-20-btc-price-hit-before-capitulating-data-shows\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Bitcoin miners can take fresh 20% BTC price hit before capitulating, data shows &#8221; The Bitcoin (BTC) mining\u00a0business is bigger than ever at current price levels, and new data shows just how unlikely a mass miner sell-off really is. As noted by popular Twitter account @venturefounder on Jan. 14, even at $42,000, the BTC\/USD&#8230;<\/p>\n","protected":false},"author":1,"featured_media":394487,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDEvNmZkOTUwOWQtZDI1YS00OTkwLWFiMmItOTc5NDhkZmIzNjg5LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74989,74937,75462,73785],"class_list":["post-394486","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-mining","tag-bitcoin-price","tag-hash-rate","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/394486","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=394486"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/394486\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/394487"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=394486"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=394486"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=394486"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}