Bitcoin Falls Below $87,000 Mining Cost, Can It Defend the $60,000 Support Level?

▲ Bitcoin (BTC), cryptocurrency mining, crypto winter/ChatGPT-generated image ©

Bitcoin (BTC), the leading cryptocurrency, plunged to a two-week low, falling below the $64,000 level amid mounting headwinds from U.S. President Donald Trump’s sweeping tariff measures and escalating geopolitical tensions in the Middle East. With massive outflows from spot Bitcoin ETFs continuing for five consecutive weeks, fears of a breakdown below the $60,000 mark are tightening their grip on the market.

According to investment media outlet FXStreet on February 24 (local time), Bitcoin ended a two-week consolidation phase and faced intense selling pressure, dropping to as low as $62,700 during Tuesday’s session. Data from SoSoValue showed that U.S. spot Bitcoin ETFs, which have recorded outflows for five straight weeks since late January, saw $203.82 million withdrawn on Monday alone, clearly signaling waning institutional demand. In contrast, major corporate holder Strategy (MSTR) continued its aggressive accumulation, purchasing an additional 592 BTC on Monday after acquiring 2,486 BTC last week, bringing its total holdings to 717,722 BTC (with an average purchase price of $76,020), demonstrating unwavering long-term conviction despite the downturn.

The primary factor chilling overall risk appetite is macroeconomic uncertainty. Although the U.S. Supreme Court placed limits on President Trump’s tariff policy, the administration announced an immediate increase in global tariffs from 10% to 15% on national security grounds, delivering a direct blow to risk assets including Bitcoin. Heightened concerns over potential military conflict in the Middle East ahead of the third round of nuclear talks between the United States and Iran in Geneva on Thursday have further fueled Bitcoin’s price correction.

Digital asset analysis firm QCP Capital noted that amid growing macro-driven risk aversion following the tariff hike, signs of miner capitulation have begun to emerge. Bitcoin’s current price remains well below the estimated average mining cost of $87,000, sharply pressuring miners’ margins. Over the weekend, reports that Bitdeer Technologies Group liquidated all of its Bitcoin holdings to secure cash flow and pivot toward the artificial intelligence sector underscored the severe liquidity crunch facing miners and their exit from the market.

Technical indicators on the chart also point clearly downward. On Monday, Bitcoin broke below the lower boundary of its two-week consolidation range at $65,729 and plunged to $62,700. The daily Relative Strength Index (RSI) fell to 29, entering oversold territory and signaling strong bearish momentum, while the Moving Average Convergence Divergence (MACD) indicator converged below the zero line, reflecting traders’ anxiety. The declining green histogram warns of a potential bearish crossover, and if the downtrend persists, there is a high risk of a slide toward the psychological support level of $60,000. For a short-term recovery, Bitcoin must first reclaim and close above $65,729 to pave the way for a rebound toward $71,746.

Disclaimer: This article is for investment reference purposes only and we are not responsible for any investment losses incurred based on it. The content should be interpreted for informational purposes only.