JPMorgan Says Bitcoin’s 280-Day Stretch Below Production Cost May End as Price Holds Above $85,000

Bitcoin miner selling pressure could ease if the token continues to trade above its estimated production cost of $85,000, according to a JPMorgan analysis.The Block, a cryptocurrency-focused media outlet, reported on September 24 that JPMorgan analysts including Nikolaos Panigirtzoglou said Bitcoin had remained below its average production cost for 280 days until this week’s sharp rally.JPMorgan said Bitcoin’s production cost has historically acted as a weak price floor. If Bitcoin stays below that level for an extended period, miners with higher electricity and equipment costs can see profitability deteriorate, leading to heavier Bitcoin sales, mining rig shutdowns or exits from the market.If Bitcoin continues to trade above production cost, as it does now, pressure on miners’ profitability could ease, reducing the risk of forced selling.