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Stutland and Luorio Claims Bitcoin Will Not Fall Below $6000 Due To Mining Cost

Bitcoin | BItcoin Mining | Bitcoin Price | Stutland |Luorio

Bitcoin is not having a gala time with its price point in the last few days. The persistent downward trend has traders in a crutch, however Brian Stutland and Jim Luorio, two prominent traders suspend the worry as they believe the Bitcoin prices will “bottom out” at $6,000 due to mining cost.

This came up when the Brian Stutland, the founder of Stutland Equities and a regular contributor to CNBC Fast Money and other programs and Jim Luorio, a managing director of TJM Institutional Services and a veteran futures and options trader were speaking to CNBC.

Their assertion that Bitcoin will stop at $6,000 is based upon the mining cost of the asset. The duo elaborated that profitable mining can only be sustained at that point, beyond this price point many miners may opt out of cryptocurrency mining and no new ones will hope to join the ranks. Stutland was quoted as saying:

“It’s going to be difficult [to profit] once we get down to this $6,000 level I think that’ll act as some support there. But look, do we really need Goldman Sachs? The point of cryptocurrency was to get people out of the banking system, and bank and transactions offline from that.”

The recent fall in price is attributed to the rumor of Goldman Sachs backing out of bitcoin derivatives. Though the CFO of the company ridiculed the news, the harm was done. On the other hand, Cryptocurrencies especially Bitcoin have been experiencing acceptance from countries such as Iran accepting Bitcoin mining as a legal industry and form individuals such a popular luxury car shop, Post Oak Motors, accepting Bitcoin as payment for cars. These incidences have majorly attributed to the confidence of Stutland and Luorio’s on the token.

According to Stutland, despite the sell-off experienced in the last few days because of the fall, after bitcoin hits their expected minimum of $6000, it might experience a bounce.  Mirroring his sentiment, Luorio predicts that bitcoin will rise to $6,800 after going through lul. He also noted that if it falls below $6,300 then it will definitely go to $6,000.

If the conviction of the duo stands true than Bitcoin which is currently standing at  $6,202 at the time of writing this article will go to $6,000 and bounce back. Hopefully the bounce this time fulfill the previous predictions of $50,000 value before the end of the year.

Read more: The Top Three Countries For Bitcoin Mining

 

 

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