Quincy Diepeveen
Quincy Diepeveen 2 minutes reading from Bitcoin

The Bitcoin Miners in Big Trouble!

The Bitcoin miners are in big trouble!

As we have been talking about for a month, BTC price < BTC Cost basis is very bad for the miners, miner capitulation is a serious issue now.

Herewith the latest update,

1/n

Quincy Diepeveen on Twitter

Capitulation risk (yellow) is severe as the spread between miner rev (blue) and mining difficulty (red) is reaching new highs.

Miners selling their holdings (orange), which is also visible in the negative net outflows (red). These are the biggest outflows since at least 4 years.

Individual Miner to Exchange transfer volume is dead.

The On-Chain cost basis of BTC (orange), currently at +/- 20k which functions as a production break even price. Everyone is underwater right now, STH and LTH included.

The longer the price stays below the cost basis, the higher the impact of severe miner insolvencies!

crypto miners bitcoin bitcoinminers cryptocurrencies

This post is based on this twitter thread.

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