After the recent halving, the number of BTC mined every 10 minutes dropped to 3.125. This situation is interpreted as an increase in mining costs. On the other hand, Bitcoin miners aim to leverage new technologies to minimize BTC mining costs. However, there are comments suggesting that many BTC miners will be forced to shut down in the upcoming period due to the high costs of Bitcoin mining.
Average Cost of Mining Bitcoin
Crypto analyst Ali Martinez made an important statement about Bitcoin mining today. The data shows that mining Bitcoin is an expensive task. According to this, the average cost of mining Bitcoin is currently stated to be at the level of 86,668 dollars.
Considering that BTC is currently at the level of 66,245 dollars, we can say that the upcoming period for BTC miners is a path leading to losses and bankruptcies.
Will Bitcoin Price Exceed This Cost?
One point that caught our attention is Martinez’s approach to the subject. Martinez stated that historically, Bitcoin prices tend to stay above mining costs. This suggests that Bitcoin prices are likely to exceed the level of 86,668 dollars in the upcoming periods.
For now, although Bitcoin, the flagship of cryptocurrencies, is trading below this level, there are two reasons in front of us, such as the spot Ethereum ETF and the Fed’s interest rate cut. Yesterday, Eric Balchunas stated that the launch of spot Ethereum ETFs could be on July 2, 2024. On the other hand, the expectations pointing to September for the Fed’s interest rate cuts inevitably increase the sensitivity towards price increases among investors.
In recent times, Bitcoin’s indecisive movements have tired investors, but I believe it would be good to be a bit more patient. Since Bitcoin tends to rise above mining costs, I can say that we are at a stage where waiting is worthwhile. Ultimately, we are all in the phase of waiting for the ship at the harbor. Waiting for the Bitcoin ship undoubtedly causes us pain, but believe me, not being at the harbor when the ship arrives will cause us even more pain.
