Bitcoin’s price is struggling above the $16K mark, and it seems that more troubles might be coming. Data shows that miners might be having hard times, as their revenues are getting lower while the mining difficulty remains high.
- According to an analyst from the popular resource CryptoQuant, the current situation in regard to Bitcoin miners is similar to what we saw back on June 6th, 2022.
- The analyst seems to believe that miners might capitulate because of the ongoing troublesome situation.
Right now, the Bitcoin difficulty is really high for miners, which means that costs are getting higher and doing business in this kind of environment is getting harder. That’s why miners do not work in full force. If they have efficient new-generation mining machines, they put them into work, but that’s all.
- The analysis also points out that inflation is not getting lower, which impacts living costs, while BTC’s price is decreasing, and mining costs and difficulty are getting higher.
- While not directly comparing the current situation with what happened in June 2022, the analyst said that the setup, according to the hash ribbon metric, is the same.
- Back then, the price of BTC crashed from $31,150 to $20,000 in a matter of days.