The highly anticipated Bitcoin Halving took place over the weekend and my miners' rewards were cut in half.
While the rally expectation continues for Bitcoin, which generally rises after the halving according to historical data, a new assessment came from Capriole Investments founder Charles Edwards.
Stating that the last halving represents a seismic change for Bitcoin as a whole at this point, Edwards stated that the cost of electricity after the halving increased to a figure of $ 77,400 for each new BTC mined.
Noting that the $77,400 Bitcoin electricity cost (the “raw” cost of electricity per block) is now higher than the spot price, Edwards claimed that Bitcoin's days below $100,000 are numbered.
“Welcome to a new era.
Bitcoin Electricity Cost is currently a whopping $77.4k. (This is the cost of raw electricity required to power the network per Bitcoin mined.)
This means Bitcoin is trading at a DEEP DISCOUNT.
“Bitcoin's days below $100,000 are numbered.”
Finally, Edwards noted that it is extremely rare for the BTC spot price to trade below the cost of electricity and it does not take long for this situation to correct.
Welcome to a new paradigm.
Bitcoin Electrical Cost is now a whopping $77.4K.
This is the raw electricity cost to power the network, per Bitcoin mined.Bitcoin Miner Price hit $244K on Saturday!
This is the block reward + fees per Bitcoin mined. It boomed as transaction fees hit… pic.twitter.com/woF6utozmZ— Charles Edwards (@caprioleio) April 22, 2024
*This is not investment advice.
