Bitcoin has crossed above the $85,000 cost of production that JPMorgan analysts identified as a critical threshold for miners, ending 280 days below this level. According to reports from The Block, the token briefly climbed to $87,000 last week before pulling back to $83,948 as of September 29. This development provides significant relief to miners who had been operating at a loss for an extended period, with the price movement crossing the $84,948 production cost that JPMorgan had estimated.
The mining network has shown strong recovery signs following the price rebound. As reported by KuCoin, the network hash rate has climbed back to 940 to 950 EH/s as of September 29, recovering from the 19% decline from its October peak that had occurred during the downturn. Miners had previously shut down rigs or sold coins to stay afloat, but the price recovery has enabled them to restart operations. The sustained relief is expected to reduce forced selling pressure by miners, creating conditions for potential further price appreciation.
Despite the relief, miners continue to sell Bitcoin when prices rally, though at reduced volumes. According to CryptoQuant data, the worst selling wave occurred in February with miner-to-exchange flows approaching 24,000 BTC. Later spikes were smaller: roughly 12,400 BTC in June, 13,500 BTC in August, and about 10,000 BTC during September's rally above $85,000. This pattern shows that higher prices remain an opportunity for miners to raise cash, though the reduced selling volumes indicate improved miner sentiment.
The recovery remains fragile, with Capriole's Hash Ribbons showing Bitcoin's 30-day hashrate average fell from 1,105 EH/s in late 2025 to 895 EH/s in August. As reported by Capriole, the hashrate has since recovered to roughly 947 EH/s, barely above the 60-day average of 943 EH/s. The gap is less than 0.5%, indicating the recovery could easily reverse. With Bitcoin now roughly 2.4% below JPMorgan's estimated production cost, the market has returned to the same uncomfortable line it only just escaped. The $85,000 cost floor represents a critical threshold that, when crossed, typically slows down miner selling and opens room for bigger price movements.
