VanEck: Recent Bitcoin miner capitulation sales may indicate that the bottom is near
Odaily Planet Daily reports that Bitcoin's hash rate decreased by 4% over the month ending December 15. Historically, miner capitulation is a bullish reverse signal. VanEck's head of crypto research, Matt Sigel, and senior investment analyst, Patrick Bush, pointed out that since 2014, when the current hash rate has decreased over the past 30 days, the probability of a positive 90-day forward return for Bitcoin is 65%. The current Bitcoin trading price is $88,400, down nearly 30% from the historical high of $126,080 on October 6.
Additionally, the breakeven electricity price for the Bitmain S19 XP miner has dropped from $0.12/kWh in December 2024 to $0.077/kWh. Analysts say the decline in hash rate may be driven by China shutting down about 1.3 gigawatts of mining capacity, with some power potentially redirected to meet AI demands. Currently, 13 countries, including Russia and Japan, still support Bitcoin mining.
