Report: Bitcoin miners are entering 'capitulation mode'

According to Cointelegraph, cryptocurrency data service provider Coin Metrics recently released a report showing that Bitcoin is in the vortex of "miner surrender."

Although the price of Bitcoin has rebounded by more than 70% in just two weeks after hitting a low of $3,700, the current price of Bitcoin is still below the "break-even point" for some less efficient miners. Therefore, Coin Metrics expects that Bitcoin miners are entering "capitulation mode."

The company concluded that miners are entering a cycle where profit margins will decline, selling will increase, and as some miners capitulate, some of the least efficient miners in the Bitcoin mining network will be eliminated. However, once this cycle is complete, the Bitcoin mining industry will return to a healthy state and be able to support future price increases.