The core of the call is JPMorgan’s updated estimate of Bitcoin’s production cost. In their latest note, cited by The Block, the analysts say the all-in cost to mine one bitcoin has risen from about $92,000 to roughly $94,000 as network difficulty has surged over recent months. That jump in difficulty forces miners to deploy more hashpower per block, lifting the marginal cost per coin. The team reiterates a framework they have used in prior cycles, stressing that “the bitcoin production cost has empirically acted as a floor for bitcoin,” so a higher cost mechanically pulls the support zone higher as well.
What the new note, as relayed by The Block, adds is a more explicit downside anchor: as long as network difficulty and energy-input assumptions keep the estimated production cost around $94,000, JPMorgan sees that level as the effective floor that answers how low Bitcoin can go before mining economics force the market to confront its constraints.
At press time, BTC traded at $97,505.
