JPMorgan analysts are convinced that Bitcoin’s move above $85,000 (the average production cost) could provide much-needed relief to miners,
Bitcoin spent a staggering 280 days below the production cost before finally moving above it during this week’s rally.
BTC has since slipped back below the threshold, trading near $84,000.
“Soft floor”
The bank has viewed this production-cost level as a “soft floor” for Bitcoin.
Inefficient operators may then be forced to sell more of their Bitcoin reserves when BTC is trading below its production cost.
Conversely, Bitcoin gets more breathing room when BTC gets above the above-mentioned level.
This is why JPMorgan believes $85,000 matters. However, it remains to be seen whether this rally will have legs.
Bitcoin briefly crossed the $85,000 mark during the latest rally but subsequently moved back below it. A temporary move above production cost will not change the economics of mining overnight.
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Bitcoin would likely need to remain around or above the estimated production-cost threshold long enough for miners to feel material improvement.
JPMorgan’s recent price targets
In February, analysts led by Panigirtzoglou said Bitcoin could eventually reach roughly $266,000 based on a volatility-adjusted comparison with gold.
In November 2025, the bank had calculated potential Bitcoin upside toward roughly $170,000 over the following six to 12 months. Back then, it used a similar volatility-adjusted comparison with gold.
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