Research: Bitcoin Miners are Widely Profitable; Is This Bullish?
Throughout the course of the long crypto winter that extended throughout 2018 and into the early months of 2019, Bitcoin (BTC) miners faced deep losses that led many of them to shut off their rigs, which was seen by many as being detrimental to the crypto’s network health.
New data suggests that the price gains incurred throughout the first half of 2019 have now made Bitcoin mining profitable, but this may not necessarily be a bullish thing for BTC’s price.
Bitcoin Miners Incur Widespread Profitability
price has risen significantly throughout the first half of 2019, from lows of nearly $3,000 to highs of just below $14,000.
Although BTC has dropped significantly from its year-to-date highs, it is important to note that it is still up significantly from its 2019 lows, which has been a great thing for the cryptocurrency’s miners.
Alex Kern, an analyst at Fundstrat Global Advisors, explained in a recent tweet that most popular mining rigs, including some older ones, are currently profitable, as the total cost to mine one Bitcoin is roughly between $7,300 and $8,500.