Chinese Bitcoin Miners Fear Another Price Dump

From the second half of the year 2020, things start going like three years ago. After breaking through $10000, the price of bitcoin once skyrocketing to $40000.

Long Qin, a bitcoin miner in China, has been persisting in hoarding bitcoins, and the three bitcoins he mined in five years ago have not yet been sold.

“I don’t think the ongoing bull market is possible to end like this. There are certain historical rules of the bull market to follow. I didn’t experience the previous halving, but only once in the third four years. I don’t think this bitcoin bull will end at $40000, so I’m really confident. I’ll sell a little bitcoin at the price of $50000, and I’ll sell a little more at the price of $100000. ”

Long believes that bitcoin mining is a long-term job. He plans ahead the machine renewal, site and electricity charge as the change of subsequent bitcoin price has little effect. It’s just that after the rise of currency price, the shareholders are a little more diligent and come to urge profit sharing every two days.

“The bull market going too fast. I like bull market, but I don’t like bitcoin price go up and down like this. I hope it’s a slow bull. It’s going up a little slower, and it’s going to prolong the bull market cycle.”

Said another miner Chen Jiu. He doesn’t have much bitcoin in his hand now. No matter how much it goes up, there won’t be much profit. Moreover, Chen Jiu believes that if the bull market goes up fast, it’s easy to end ahead of time.

“If the bitcoin market goes too eye-catching, there will be a lot of uncertainties, such as stricter regulatory policies.”

The electricity charge is one of the biggest expenditures of bitcoin miners, and the price of electricity directly determines the revenue of mining machines. For cheaper electricity charges, Chinese crypto miners often travel long distances or even take risks.

Almost all thermal-powered crypto mining farms in north China’s Inner Mongolia and Xinjiang province have been shut down, while 20% – 35% of hydropower-powered crypto mining farms are vacant in north China’s Yunnan, Guizhou, Sichuan province.

Publication date: 
01/14/2021 - 11:43
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