Industry analysis suggests that Bitcoin’s recent rally, which has seen a 25% surge since its April low, might be foreshadowing an upcoming price increase. A key metric known as the Average Miner Cost of Production is showing signs of potential bullish reversal, according to Breedlove. This metric, often used to anticipate major market turns, has been accurate in predicting Bitcoin bottoms for six of the last seven years, including April 2016, December 2018, March 2020, September 2020, November 2022, and September 2024. The rationale behind this indicator lies in the economics of mining; assets typically do not trade below their cost of production in rational markets. Breedlove highlights the importance of averaging these costs, which vary based on machine efficiency, electricity expenses, and operational uptime. This average metric provides valuable insights into Bitcoin’s potential trajectory. 1 A chart from Blockware illustrates the historical correlation between Bitcoin price movements and the average miner breakeven cost, providing further evidence for this signal. Breedlove suggests that the convergence of these indicators may indicate a significant Bitcoin rally is underway. While he rarely comments on short-term price action, this strong signal makes it hard to ignore. For those tracking market cycles, this could be a confirmation of an upward trend in Bitcoin.