Despite future regulatory constraints, Chinese Bitcoin miners could endure a massive collapse of the market due to the low cost of 39, electricity in the country

Bloomberg, the flourishing mining industry of Bitcoin in China would still be very profitable if the price of Bitcoin fell to $ 7,000

The Bitcoin price climbed from $ 1,000 in January 2017 to $ 20,000 in December, which of course required more miners and inevitably more energy.

China has long been a cash cow for bitcoin miners, due to a surplus of energy resulting in low energy cost.

Bloomberg New Energy Finance (BNEF) Analysts released a report on Jan. 10 stating that mining operators in China could still make a profit if the Bitcoin price is above $ 6,925.

analyst Sophie Lu, mining will almost always be profitable in China:

"The Bitcoin mining at current prices is likely to be profitable in under any electricity price regime in China. "

Following a closed meeting in December of mining operators facing electricity restrictions in some areas of the country. China, where electricity consumption is higher.But this latest analysis suggests that all is not dark for the biggest mining operators of China, including Bitmain, BTCC, BW mining and BTC.com

A fall in the ocean

While power studies cited the massive power demand of the global Bitcoin mining industry, Chinese operators are by far the largest.

However, the statistics of the BNEF highlight the true size of the country's mining industry. . Chinese miners use 15.4 terawatt hours, or 0.2% of the country's annual electricity production.

The highest electricity rate for Chinese miners is $ 0.13 per kilowatt hour. However, as Lu reports, operators can negotiate prices as low as $ 0.03 – which means miners would be profitable as long as the Bitcoin price stays above $ 3,869.