Bitcoin Mining Profits Hit 14-Month Low After Winter Storm Rocks Miners: CryptoQuant

💡 DMK Insight

Bitcoin miners are feeling the squeeze at $84,001, and here’s why that matters: With miners reportedly ‘extremely underpaid,’ this could lead to a significant shake-up in the mining ecosystem. If profitability continues to dwindle, we might see miners shutting down operations or selling off their BTC holdings to cover costs. This could create downward pressure on Bitcoin’s price, especially if a large number of miners exit the market simultaneously. Historically, miner capitulation has led to price corrections, so traders should keep an eye on miner activity and hash rates as indicators of market health. On the flip side, if Bitcoin’s price stabilizes or increases, it could incentivize miners to hold onto their coins, potentially leading to a supply crunch. Watch for key resistance levels around $85,000 and support near $80,000. If Bitcoin breaks below that support, it could trigger further selling pressure. Monitoring miner sentiment and hash rate trends will be crucial in the coming weeks as we assess the potential for volatility in the BTC market.