Bitcoin mining revenues fell to levels observed in early 2019 for the second time in 2020.
Every time it falls to a perennial bottom, it marks the beginning of an upward trend.
The last time the daily income from mining Bitcoin were about $ 7 miliona was on March 13, 2020 Then the price of the flag kriptovaluta dropped to $ 3,800 per BitMEX, after being eliminated over a billion dollars in long positions.
After mining revenue plummeted on March 13, the price of Bitcoin rose from $ 3,800 to over $ 10,000, accounting for gains of over 177% over the next month and a half.
When Bitcoin mining revenues plummeted, this indicated that miners were capitulating as a result of adverse market conditions.
From March 12 to 13, Bitcoin mining revenue fell as a result of a 50% drop in the price of Bitcoin within 24 hours. This time, the decline seems to be caused by the effect of halving on the mining ecosystem.
Prior to Halving, diggers generated about 1,800 BTC in revenue each day . Today, this value is expected to be around 900 BTC for the day.
The price of Bitcoin is currently at a level close to that observed before the halving. For smaller miners, a stagnation in the price of Bitcoin is an occasion for them to terminate their operations. This usually marks the bottom of the price, as it indicates a peak level of fear in the market.
From the beginning of 2019 to the middle, the price of Bitcoin rose from $ 4,000 to $ 14,000 and the data suggest that Bitcoin is positioned for such a movement.
Technical indicators, such as the relative strength index and the moving average of large time frames, suggest that we have not yet approached the top of this cycle.