What happens if bitcoin price falls below the cost of mining it?

[Garret44eza]

I think miners will stop the mining till all the bitcoins remaining get used up and wait to see if the situation uplift or not. May be.

[pinkflower]

Would bitcoin be able to recover? Are we safe since 80% of bitcoin has already been mined?

I remember it happened once in 2011 (https://www.themarysue.com/price-bitcoin-falls-below-mining/amp/).

Satoshi thought and planned for it.

If the bitcoin price falls below the cost of mining, some miners will exit. It will temporarily cause block discovery to lengthen as the existing miners striuggle - but after 2400 blocks, the difficulty will adjust down. That means it's easier to mine. (The difficulty is directly linked to the cost of mining as you need many more miners to win a block when the difficulty is high).

Basically you'll get iterations of this till the cost of mining falls below the bitcoin price. If the bitcoin price fell to $1 I expect you'll be able to mine them with your laptop as the professional mining farms will have long given up.

Wouldnt that be a threat to a manufacturer like Bitmain? I think it is in their interest to pump BTC than give up and lose their billion dollar company. I know this is shocking, but Bitmain is already earning billions from ASIC miners.

We have seen this kind of pump done by them during the halving of mining rewards.

[keycellko]

I think there's no problem with that. Come to think of it, when it all began the price of bitcoin is not this high. But miners were able to compensate their cost for mining. And come to think of it, it is actually positive if incase mining stops. It means the amount of bitcoin circulating will be stabilized but the people wanting to buy bitcoin will increase thus increasing the value of bitcoin as well.

[alyssa85]

Wouldnt that be a threat to a manufacturer like Bitmain? I think it is in their interest to pump BTC than give up and lose their billion dollar company. I know this is shocking, but Bitmain is already earning billions from ASIC miners.

We have seen this kind of pump done by them during the halving of mining rewards.

Yes - though Bitmain is insulated by the fact there are now so many bitcoin forks for miners to mine - bitcoincash, bitcoingold, etc etc.

[AsianNapoleon]

Would bitcoin be able to recover? Are we safe since 80% of bitcoin has already been mined?

I remember it happened once in 2011 (https://www.themarysue.com/price-bitcoin-falls-below-mining/amp/).

Bitcoin will go to at least $50k this year

[Sled]

I think that people will no longer choose to mine it and instead of buying mining tools or rigs then they will just buy directly it. The price of bitcoin is not always going up so i think that in the future, the price of bitcoin might have some huge downfall and it might reach where the price is just like from the past few years like $2,000.

[pinkflower]

Wouldnt that be a threat to a manufacturer like Bitmain? I think it is in their interest to pump BTC than give up and lose their billion dollar company. I know this is shocking, but Bitmain is already earning billions from ASIC miners.

We have seen this kind of pump done by them during the halving of mining rewards.

Yes - though Bitmain is insulated by the fact there are now so many bitcoin forks for miners to mine - bitcoincash, bitcoingold, etc etc.

But its in the best interest of every ASIC miner involved in cryptocurrencies for BTC to succeed. If it falls it will take every coin with it. Thats why I do not know why some altcoiners are so quick to indicate faults in BTC.

[stellgod]

Then miner will sold their mining equipment, it happened before

The drop in hashrate will make mining profitable again, and the cycle goes

There are maximum chances for this to happen yes. Because when you are on something and trying to make it work and ultimately your profits are running away from you. Plus the prices for that coin are going down and even your mining basic payments are not fulfilled so how can you continue? Definitely if I would be at such place, I will surely think of getting out of this mining thing.

[logicgate]

Then miner will sold their mining equipment, it happened before

The drop in hashrate will make mining profitable again, and the cycle goes

There are maximum chances for this to happen yes. Because when you are on something and trying to make it work and ultimately your profits are running away from you. Plus the prices for that coin are going down and even your mining basic payments are not fulfilled so how can you continue? Definitely if I would be at such place, I will surely think of getting out of this mining thing.

Bitcoin mining is not going to stop anyway. As you said, mining companies great role in the pumping and dumping of the prices. We all know that these companies or agencies are earning countless money from this process. I am pretty sure that the mining of bitcoin will keep going on and the prices will no way go down the cost of bitcoin ever. Bitcoin is still strong enough to stay at a price higher than mining charges.

[tbterryboy]

Wouldnt that be a threat to a manufacturer like Bitmain? I think it is in their interest to pump BTC than give up and lose their billion dollar company. I know this is shocking, but Bitmain is already earning billions from ASIC miners.

We have seen this kind of pump done by them during the halving of mining rewards.

Yes - though Bitmain is insulated by the fact there are now so many bitcoin forks for miners to mine - bitcoincash, bitcoingold, etc etc.

But its in the best interest of every ASIC miner involved in cryptocurrencies for BTC to succeed. If it falls it will take every coin with it. Thats why I do not know why some altcoiners are so quick to indicate faults in BTC.

This is not a fault on the part of bitcoin if rest of all toddling currencies are dependent on it. The thing is they are new to the world and bitcoin was there when no other currency was in the market. Bitcoin can never ever be beaten by any coin from the community of altcoins because of the immense support bitcoin is getting throughout the world. Altcoiners should stay realistic and stop blaming bitcoin.

[wdnj]

Would bitcoin be able to recover? Are we safe since 80% of bitcoin has already been mined?

I remember it happened once in 2011 (https://www.themarysue.com/price-bitcoin-falls-below-mining/amp/).

Bitcoin price is very unpredictable and as the percent of coins are getting higher the miner will get less and it is not good for them.

As we know miners are helping bitcoin transfer to be better.

But we dont need to be afraid as the lightning network will cover it for us. SOON!

[zhekinsp]

Would bitcoin be able to recover? Are we safe since 80% of bitcoin has already been mined?

I remember it happened once in 2011 (https://www.themarysue.com/price-bitcoin-falls-below-mining/amp/).

Bitcoin price is very unpredictable and as the percent of coins are getting higher the miner will get less and it is not good for them.

As we know miners are helping bitcoin transfer to be better.

But we dont need to be afraid as the lightning network will cover it for us. SOON!

But if the miners stop supporting the bitcoin transaction then it may leads to increase the transaction fee but most of the miners now understand that they can earn lot more holding them that is why they are keep supporting even the price falls but it will be a bad situation id the price falls below the mining cost,they hae no more reason to mine.

[FADI1]

I don't think that is possible because if the price fropos that means the number of transactions is droping meaning with the same hardware you will be able to make more amounts of bitcoins.

[BelieveInBTC]

I don't think that is possible because if the price fropos that means the number of transactions is droping meaning with the same hardware you will be able to make more amounts of bitcoins.

If the price drops suddenly then usually, the panic starts and people send their bitcoins ot exchanges in order to sell it. Mining might actually become unprofitable if there won't be a new ASIC released. However, I doubt that it would happen. There are many cryptocurrencies which are not profitable to mine but people still do it? Why? They probably want hold it and sell when the price increases.

[mackenzied]

I don't think that is possible because if the price fropos that means the number of transactions is droping meaning with the same hardware you will be able to make more amounts of bitcoins.

If the price drops suddenly then usually, the panic starts and people send their bitcoins ot exchanges in order to sell it. Mining might actually become unprofitable if there won't be a new ASIC released. However, I doubt that it would happen. There are many cryptocurrencies which are not profitable to mine but people still do it? Why? They probably want hold it and sell when the price increases.

No one accepts a coin without profit. They will not mine it if they do not receive any profit, I'm sure of that. They always calculate carefully, or at least, they see its potential in the future.

[Fog Fence]

In this case, large miners will continue their activities. Difficulties will arise only in small miners, because they are not ready to work at a loss for a long time. If you do not have a large mining enterprise, then bitcoin mining is now generally meaningless.

[fernando48]

If the price bitkoyna falls below the cost of its production, miners with expensive electricity will leave and remain the strongest

[shaadsufi]

If it happens that the server cost of mining a bitcoin is greater than the price value of that bitcoin and this happens to all of the coins then, in this case, the coins generated will be the only coins existing in the market and no more bitcoins will be mined so bitcoin will only be affected by demand then

[juki35man]

Would bitcoin be able to recover? Are we safe since 80% of bitcoin has already been mined?

I remember it happened once in 2011 (https://www.themarysue.com/price-bitcoin-falls-below-mining/amp/).

I think it's just an ordinary cycle in the crypto world where bitcoin will experience its lowest point every year and we as fans of crypto especially bitcoin must be ready for all the possibilities that occur

[KuromaYoichi]

Mining BTC cost about 5.3k if I'm not wrong. So literary below it will normally not go. If ever happened then producing would mean lost, without profit. Though I don't get any clue how someone thinks BTC may visit $5k before rallying to new highs!

If the price of bitcoin fell below 5,3k then there will be a lot of mining farm that will stop mining bitcoin and that will make the difficulty go down after some time. If the mining difficulty go down then it will be easier to mine bitcoin and the mining cost will be lower aswell so it's definitely possible for bitcoin to go below 5k, not that i want that to happen though.