What happens when the price of Bitcoin falls below the cost of mining?

[maminelly]

bitcoin is maintained by the continuous mining of bitcoin an average these mining happens when bitcoin fall if anything the cost of mining is about $6000 which has been calculated by silly speculators. but in reality cost of mining will always remain near bitcoin's current price because that is how mining and difficulty works.if price goes up there will be more miners, more hashrate, higher difficulty, less profit and if price go down it will be higher in some other time...

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[Phan Long]

When Bitcoin drops too low, Bitcoin operators will die because of the cost of digging Bitcoin. Of course, there are two sides to it, so many people are rushing to exploit Bitcoin, which causes the market to have too many Bitcoins and keep Bitcoin prices down at the moment. This has affected the market and also the owners of Bitcoin.

[Boysen]

If the price of bitcoin is below the mining price, the first time it will get a bad impact is bitcoin miners, then the traders and temporary bitcoin holders. they will feel panic and might stop their activities.

At the same time they might seek for something for them to have a replacement to mining that will cost less and they can earn more. If people tends to love what they are dong, they will probably seek for ways. Therefore if it happens some may leave crypto but those who believes in bitcoin will probably find there way.

It will give big impact for miners if bitcoin price below mining cost. Miners will move to mine others profitable coin because peoples who involve in crypto must be looking for profits. Maybe bitcoin transaction will more slower than before price drop

At the same time they might seek for something for them to have a replacement to mining that will cost less and they can earn more. If people tends to love what they are dong, they will probably seek for ways. Therefore if it happens some may leave crypto but those who believes in bitcoin will probably find there way.

[svetochka.yakovleva.93]

I think that the miners will not allow lowering the cost of production! if it happens they will receive losses! they will have to quickly return their lost positions and again raise the price! so that in any case everything will be fine and the price of bitcoin will grow!

[Derizo]

I think people will stop mining Bitcoin if this ever happens. The issue with mining is that there are a lot of complexities that need to be overcome before starting the mining process. If there is no incentive. then people will be discouraged from the cryptocurrency mining.

[DimensionsOfHell]

I believe that people who extract bitcoin in large quantities, they will still get it even if the coin falls down.

[CrazeCoinz]

So, I was thinking, for the long term, even if Bitcoin goes below USD 6000, no worries, 5000, 4000, much the same. Hodl for the long run.

But, the vitality of Bitcoin is maintained by the continuous mining of Bitcoin. On an average these mining costs are USD 3000 to 3500 approximately. So, what happens when Bitcoin falls to that level?

Maybe the mining rigs won't mind bearing losses for a few months if they sense an upside later on. But, what if they don't, and start bailing out?

In that case, USD 3000 or whatever the lowest cost of mining Bitcoin will effectively become the null point. If Bitcoin falls to that point, downwards beyond that is a steep vertical cliff wall, and an inevitable fall to Zero.

i think it won't matter as we know that the price of bitcoin of January last year was at $1k or much lower and we don't heard any problems with those miners. Those miner will also go with the flow along with the price of bitcoin. Yeah they will be affected but it's part of the volatility of the bitcoin price and they know that before they put up there mining rig.

[skish85]

Most of the miners believe that Bitcoin's mining is still paying off, even if there is a further decline in value. For some groups of miners, the breakeven point is about $ 4,400.

[nazaididuan1]

BTC's mining costs will also change with the price of the market!
When the market price is low, many mining unions have withdrawn due to cost problems, and the mining difficulty of BTC is reduced, and the mining cost is also reduced!

[ksupriya94]

Till the date bitcoins have value - mining will be profitable. There  will be just less miners that will produce less hashpower, which means that bitcoin transactions will be secured by less "proof of work" and cost of mining will be getting lower per GHS because of the technolo9gy advancements. Faster ASIC chips and lower power consumption. So, always there will be a reward for miner.

[larry1994]

The first one who will be affected by this was the Bitcoin miners , and then everybody who is under of crypto system . As of today there are lots of post about the panic they experienced when this fall happen it will be doubled , and there will some who will give up .

[Dudeperfect]

We must consider the fact that Bitcoin mining is not the casual part-time activity. It is a serious business and we should leave it for them who treat with that proficiency. When it comes to the business, not every day is a sunny day and hence the business should have long-term vision and mission with the strategies. Specifically in the case of mining, one should consider returns on a longer time period if he is expecting sustainable profit from it.

[prikitiw]

I think mining costs will adjust according to the current price of bitcoin, when the price rises that happens is there will be more people who want to mine which makes the difficulty increase. Conversely, if prices continue to fall, many miners will stop mining, difficulties will come down and the cost for me will also decrease.

[r32godzilla]

I would to say that all bitcoin miners are not normal individuals and mostly they are big mining farms. So they would not mind such decline in prices.Such mining farms have already earned tremendous income from bitcoin mining and so they actually know it's potential.So they would not take such a foolish decision of quitting bitcoin mining.

[HenryHope123]

Surely you will not profit on that if the bitcoin price drops below the cost of extraction. As bitcoin continues to fall below the cost of mining, output will be less and bitcoin traffic will slow to reach maximum supply. Lets say there are quite a large number on some of them, then those who continue to tap will get more profit because of those who stop mining.

[Olayinka225]

Whenever the price of bitcoin falls far below the cost of mining, then the miners get discouraged and leave bitcoin mining.  The cost at which to mine bitcoin with electricity has been so so exorbitant and these has to be look into. Most miners sells there mining equipment and get a rest from mining for some time.

[mekie]

People will simply stop mining until it is profitable again and no doubt people who have access to free or extremely cheap electric will continue to mine so it will not stop completely and as others have pointed out it is a self correcting system so the difficulty will reduce to make it attractive to mine.   

[cahbagus555]

People will simply stop mining until it is profitable again and no doubt people who have access to free or extremely cheap electric will continue to mine so it will not stop completely and as others have pointed out it is a self correcting system so the difficulty will reduce to make it attractive to mine.   

Its true, i am believe miners like others bussinessman. They will calculate the cost and the bitcoin price and if the price below production cost, they will shutdown the production until the price getting better.

[bayu7adi]

for the country with cheap electricity prices, it might still be able to run at a price of 3k USD, but for countries with electricity prices above 0.2 USD, they are certainly better off closing their services, because it is no longer profitable
there must be a balance between the price of bitcoin and the price of electricity so that mining can be carried out fairly
IMO, the fair price for bitcoin is 6k USD so that miners still get commissions that are in accordance with their work

[kucritt]

i think the miners will stop mining bitcoin, and then all bitcoin amount will not mined and it will mined after the price of bitcoin increase more than the mining cost