Topic: What happens if bitcoin price falls below the cost of mining it? - page 3. (Read 1416 times)
August 06, 2018, 04:27:14 AM
I haven't watched BTC mining too closely, but XMR's price is down 66% over the last 2-3 months but the total hash rate has barely budged, rewards are down and difficulty unchanged. I was expecting to see a significant drop in hash rate as miners dropped out but that hasn't been the case. What's going in with the economics here?
August 06, 2018, 04:07:32 AM
In terms of miners, this might be detrimental, but many users also want to have bitcoin at a low price, which can trigger a market demand that will increase the price of bitcoin. I want to know how much mining costs in your country? I think bitcoin only prices $ 100- $ 300 in 2014 and what do miners do, do you know?
August 06, 2018, 03:33:40 AM
Either way, whether the price of mining is more expensive than the value of bitcoin mined, then it's all the same. Bitcoin will still circulate in the market. Besides, Bitcoin isn't the only crypto currency out there. We have alt coins to pick up the slack if ever bitcoin actually falls behind which i highly doubt.
August 06, 2018, 02:00:37 AM
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 remember it happened once in 2011 (https://www.themarysue.com/price-bitcoin-falls-below-mining/amp/).
I just don't get it, when 80% are already mined then the price will tend to increase as we're approaching to its supply. So the more bitcoin mined the higher the price can increase plus the demand that bitcoin gets. So what's bothering you now brother? However, bitcoin will still have a halving so it can somehow affect the price sooner.
August 06, 2018, 01:18:50 AM
Of course it will make costs very expensive, because it is expensive so automatically users will not send bitcoin and prefer other types of coins, I hope that the price of bitcoin continues to rise so it can reduce the cost of miners when sending bitcoin.
August 06, 2018, 12:58:54 AM
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 remember it happened once in 2011 (https://www.themarysue.com/price-bitcoin-falls-below-mining/amp/).
The title is different from the body of this thread i dont know whats the connection between them
But i am sure this will not happen in future because bitcoin wont fall under that mining cost,and i believe that the value of cryptocoin now is stable and will move smaller percent from time to time
August 04, 2018, 05:54:34 PM
I think it depends on the position of BTC when it happens. Probably the market will fall into crisis and crypto currencies will lose their hype, but I still don’t think that crypto will die in that case.
August 04, 2018, 05:19:31 PM
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 have heard about that happening in the past but for now I think it is not that possible as it was before. Because for now the interest of people on bitcoin as already too high for them to just forget about it and stop investing. I remember it happened once in 2011 (https://www.themarysue.com/price-bitcoin-falls-below-mining/amp/).
August 04, 2018, 05:02:36 PM
Maybe it will be a bad thing but in my opinion mining does not cause bitcoin to drop in price but new people invest in it and panic when the price of bitcoin goes down and sells the bitcoin they hold.
August 04, 2018, 05:00:09 PM
that would be a fools investment, when the cost of mining bitcoin is higher than the price, the value of bitcoin will fall and mining bitcoin wont be posible as much investment wont be placed on mining when on the real sense the value is less than the mining cost.
August 04, 2018, 12:14:57 PM
I think the miners don't really make the price of bitcoin fall so much but new investors who panic when they see the price of bitcoin go down and sell it. Because of this they only help bitcoin become more down because it sells when the price of bitcoin falls.
Miners will be losing profit and most of the people will be delaying on their transactions since miners will stop running the block chain but as of now, the state of the market is running good and bitcoins is on $7k dollars price.
August 04, 2018, 08:29:45 AM
In my opinion, Bitcoin mining is meant to come to an end, knowing that the number of bitcoin is limited, miners knows this, as well as the whole cryptocommunity, But it doesn't dictate the demand of bitcoin, if the consumers continues to value bitcoin or any other cryptocurrencies then the cryptocommunity will continue and bitcoin will survive. Of course by this time, bitcoin miners would have definitely find another way of earning money. I think even though the miners have completely mined all the bitcoins out there, the crypto world would continue.
Bitcoin supply is limited, but I am sure that not all Bitcoin will be able to be mining with the assumption that mining costs will be even greater, while now prices are falling. The period of earning money from mining is certainly no longer a profitable thing. 
August 03, 2018, 08:42:37 PM
In my opinion, Bitcoin mining is meant to come to an end, knowing that the number of bitcoin is limited, miners knows this, as well as the whole cryptocommunity, But it doesn't dictate the demand of bitcoin, if the consumers continues to value bitcoin or any other cryptocurrencies then the cryptocommunity will continue and bitcoin will survive. Of course by this time, bitcoin miners would have definitely find another way of earning money. I think even though the miners have completely mined all the bitcoins out there, the crypto world would continue.
August 03, 2018, 08:18:51 PM
I think if bitcoin price not profitable for miners, they must be wont to mine bitcoin anymore and no bitcoin transaction can be processed. It will hurt to bitcoin price. But in several country, there is miner have lower cost compare with others country because electricity cost more cheaper
August 03, 2018, 06:29:47 PM
"If Bitcoin prices drop below the cost of mining" miners just stop their operation and use the money they use for electricity to buy Bitcoin. Free market will be adjust according to the supply and demend. Nothing to be worry about to much.
That will be a huge mistake, I have seen people say that the bitcoin they mined back in the day when it was not profitable to do so was in fact the most profitable of all, the miners have a lot of money they are not going to suspend their operations just because it is not profitable at this time, since they know the price of bitcoin will recover and the bitcoin they get can be sold for a profit in the future.Suppose your cost of mining is $6000 per bitcoin and the price of a bitcoins drops to $5000. Are you going to mine 1 BTC for $6000 or are you going to buy 1.2 BTC for $6000? A smart person would stop mining and buy the 1.2 BTC.
Survival of the fittest. That's why the system works so well. It's actually designed in an evolutionary way to ensure continual development and destruction of the old if they cannot keep up with the times. It's really clever if you think for a moment. A self-cleaning mechanism for when corruption or laziness or greed set in. It cuts all of the non-performers out at the bottom by making the mining process too costly for them, and then opens up a path for whoever wants to join in, providing they can do it better than those did before. Better keep yourself afloat or get out.
August 03, 2018, 06:15:40 PM
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/).
If the btc price falls below the cost of mining some miners will exit It will temporarily cause blockchains discoveries to lengthen as the existing miners striuggleI remember it happened once in 2011 (https://www.themarysue.com/price-bitcoin-falls-below-mining/amp/).
Well, if we follow your point of reasoning Bitcoin price will be affected, But please, try the make a good research with comparative data to support your claim, base on the Hash Rate, Bitcoin miners increase to some degree, although the Bitcoin price on the market as posted goes down yet is more strong now and even more stable. Let's wait and see, let's be patient and monitor our investment.
August 03, 2018, 05:57:25 PM
If price of bitcoin falls below the cost of mining, some people may quit mining. But their quits does not affect much. I don't know if we need to think too much about it because even if one person does mining, the system will continue to process.
August 03, 2018, 05:46:40 PM
"If Bitcoin prices drop below the cost of mining" miners just stop their operation and use the money they use for electricity to buy Bitcoin. Free market will be adjust according to the supply and demend. Nothing to be worry about to much.
That will be a huge mistake, I have seen people say that the bitcoin they mined back in the day when it was not profitable to do so was in fact the most profitable of all, the miners have a lot of money they are not going to suspend their operations just because it is not profitable at this time, since they know the price of bitcoin will recover and the bitcoin they get can be sold for a profit in the future.Suppose your cost of mining is $6000 per bitcoin and the price of a bitcoins drops to $5000. Are you going to mine 1 BTC for $6000 or are you going to buy 1.2 BTC for $6000? A smart person would stop mining and buy the 1.2 BTC.
August 03, 2018, 11:30:34 AM
"If Bitcoin prices drop below the cost of mining" miners just stop their operation and use the money they use for electricity to buy Bitcoin. Free market will be adjust according to the supply and demend. Nothing to be worry about to much.
That will be a huge mistake, I have seen people say that the bitcoin they mined back in the day when it was not profitable to do so was in fact the most profitable of all, the miners have a lot of money they are not going to suspend their operations just because it is not profitable at this time, since they know the price of bitcoin will recover and the bitcoin they get can be sold for a profit in the future. August 01, 2018, 11:24:25 PM
I think if Bitcoin falls below the price it costs to mine that some of the smaller guys will fall off however the big guys will keep rolling in hopes of future price gains. If they made large expenditures they have no choice but to keep on going.
I hope that it will not happen because it will have a huge affect on the price of bitcoin because if the miners will not be able to make any profit anymore then it will cause for a lot of shutdowns on their mining rigs and that will become the reason for the network to become slower where the user will find something better and that will become the cause for bitcoin to fall down. Jump to: