Live markets: Bitcoin has traded below its mining cost for five months, squeezing miners
Bitcoin miners are facing significant financial strain as prices remain below production costs, leading to increased selling of holdings. The network is self-regulating through lower hashrates and mining difficulty adjustments as unprofitable operators power down.
Why it matters
The financial health of Bitcoin miners impacts network security and market volatility, serving as a key indicator for broader cryptocurrency market sentiment.
The strain is showing and about 20% of miners are now unprofitable, the bank said citing CoinShares data, and publicly traded miners sold more than 32,000 bitcoin in the first quarter to cover operating costs, more than they offloaded in all of 2025.
The article reports on market data and financial analysis from JPMorgan without taking a political or ideological stance.
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