Post
Topic
Board Economics
Re: What happens if bitcoin price falls below the cost of mining it?
by
el kaka22
on 02/10/2018, 14:06:33 UTC
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/).
It really doesn't. Whenever the price drops to a certain level the miners stop selling their bitcoins they mined which means it is really hard to find people that sells for lower.

Considering you need more people selling than people willing to buy for the price to drop if you take away all the miners that sells their coins you find that buyers always overcome the sellers in that case when miners don't sell, which means whenever price drops below the price of cost of mining the price goes up. It always stands at the price of profit no matter what because you can't just take away the miners and expect the buyer/seller sides to be equal.