JPMorgan Says Bitcoin Below Production Cost, Leaving 20% of Miners Unprofitable

Bitcoin miners bear equipment, electricity and operating costs. If the price remains below break-even for an extended period, operators may be forced to shut down equipment or sell their holdings. JPMorgan estimates the cost of producing one BTC at about $78,000, making miners’ financial strain an important gauge of Bitcoin network security and market supply.

JPMorgan’s latest research said that as of the first quarter of 2026, Bitcoin’s market price had remained below its $78,000 production cost for five consecutive months, leaving about 20% of miners unprofitable. Publicly listed miners sold large amounts of their BTC reserves in the first quarter to maintain operating cash flow. Their sales exceeded the total for all of 2025, while mining difficulty also declined significantly.