Bearish Bitcoin Mining Data May Be Counter Signal That Encourages...

Bitcoin’s miner margins and NVT metric indicated a bottom range, but a final downside sweep remains possible.

Bitcoin (BTC) rallied to $91,950 on Nov. 26 as data shows the market sitting at a key inflection point. Data from Capriole Investments placed Bitcoin’s production cost near $83,873, while the electrical cost, the baseline energy input for mining, sits far lower at $67,099.

Bitcoin is currently trading just above miner production cost as profitability compresses.

Elevated hashrate and collapsing hash prices are pushing miners toward stress thresholds.

The dynamic NVT ratio dropped under its low band, historically bullish, but often with one final shakeout.

Currently, the BTC miner price stands at $87,979, leaving miners with a slim 4.9% margin, one of the lowest readings of the cycle. Historically, thin margins have acted as a stabilizing force rather than a stress signal. As profitability narrows, inefficient miners tend to drop off, difficulty adjusts, and the supply pressure from miners cools noticeably.

This often creates the kind of “quiet support” that Bitcoin forms during transition phases between fear-driven selling and longer-term accumulation.

Recent data indicated that miner profitability has been strained by a surge in network competition. In October, Bitcoin’s hashrate hit a record 1.16 ZH/s, even as BTC’s price slid toward $81,000 entering November.

However, hash prices, the revenue miners earn per unit of computing power, fell below $35 per hash on Nov. 25, now well under the median $45/PH/s earned by public miners. Payback periods for mining rigs have stretched beyond 1,200 days, while rising financing costs and increased miner borrowing compound the pressure.

Cointelegraph reported that although many mining firms are accelerating pivots into AI and high-power computing, revenue from these services remains too small to offset the steep fall in Bitcoin mining income.

Source: CoinTelegraph