Bitcoin only rises under these conditions!

Analysts talking about Bitcoin, which has been moving downwards in recent days, explained the conditions required for the rise.

The spring weather in the cryptocurrency market was short-lived. The downward trend in Bitcoin has thrown the cryptocurrency market into uncertainty. Many altcoins have returned to their early 2024 price levels.

While crypto investors were wondering where the decline would end, striking comments came from analysts. Analysts listed the arguments necessary for the rise.

Important factors in the course of Bitcoin

The leading cryptocurrency unit Bitcoin (BTC) has been in a downward trend for more than two weeks. BTC is trading 14 percent below its all-time high of $73,835, which it reached on March 14. Analysts argued that BTC should regain its hashrate power. Miners must surrender and the network’s difficulty must increase.

Famous crypto analyst Willy Woo stated that BTC will start to rise only when “weak miners run out” and the hashrate improves. In his post on X, Woo mentioned that it may take a long time for the miners to surrender.

Miner capitulation, which Woo also mentioned, is that if BTC falls below the fair price and miners make losses, many miners will go bankrupt. These miners try to generate cash by selling their hardware and BTCs.

The analyst explains his theory: “When Bitcoin falls into weak hands, this means that inefficient miners working with old hardware and high costs go bankrupt. Other miners have to switch to more efficient equipment because their income has decreased by half.” explained as follows. According to Woo, in both cases, miners sell BTC to generate cash.

Woo suggested that after the miner capitulation ends, only the strong will remain and the strong will expect a rise in BTC.

While it took 24 days for the hashrate to recover in the 2017 cycle, it took only 8 days in 2020. Woo stated that he is still waiting for the miners to run out and it has been 61 days so far.

Another analyst, Ali Martinez, stated that the average cost of BTC mining is 86,668 dollars.

Analyst Mr. Anderson stated that the purpose of the declines in the market is to trigger panic sales and that the fundamental rise will begin after weak investors leave.