Bitcoin Price Slips Below Key Mining Cost Threshold

Bitcoin's price slipped to $83,062.25 on Tuesday, September 29, falling 0.51% as mining firm selling risks triggered a market dip.

The average Bitcoin production cost sits near $85,000 per BTC, according to JPMorgan estimates. When Bitcoin trades below this baseline, miners face thin profit margins and sell held coins on public exchanges to pay for energy bills and computing hardware.

This miner selling pressure pushed Bitcoin's price below the $84,000 to $85,000 range where Glassnode tracks the main cost base for long-term holders. Analyst Daniela Hathorn noted that holding above $84,000 remains key to preventing mining operations from unloading more coins onto open order books.

Excess leverage was cleared out quickly as Bitcoin's price moved below local support lines. Coin-denominated open interest fell almost 20% from August levels, touching its lowest point since March. Bitfinex analysts explained that long positions built during Bitcoin's earlier run to $87,000 have been wiped out, leaving BTC futures market positioning near neutral.