Cost of Production
Cost of Production shows the theoretical price below which mining becomes globally unprofitable on average. When BTC price drops below it, inefficient miners switch off, hashrate and difficulty adjust, and the market historically tends to find a floor. Not a trading signal — long-term context for accumulation phases.
- Formula:
- (annualized TWh × 1e9 / 365 × electricity_price) ÷ (block_reward × 144) × 1.30
- Originator:
- Cambridge CBECI · Pine pattern (capriole_charles)
- Data source:
- TradingView Pine-Indikator (Cambridge-CBECI-basiert) — Lower-Bound + ×1.20-Upper-Band
Strategies to backtest
Thematically related strategies from our library — try them in the backtest engine or read up on the methodology.
Buy a fixed amount on a fixed schedule — week after week, regardless of price. Smooths volatility, removes timing decisions.
Open strategy →The benchmark for everything else — buy on day one, hold forever. The reference every strategy is measured against.
Open strategy →More Bitcoin indicators
Daily coin issuance in USD relative to its 365-day average. Values above 4 indicate miner-profit overheat (top), below 0.5 mark capitulation bottoms.
30-day hashrate MA vs 60-day hashrate MA. When the 30d falls below the 60d = miner capitulation. Recovery cross back up = classic buy signal.
111-day SMA vs. 350-day SMA × 2. Classic top signal by Philip Swift — historical crossovers nailed every BTC bull-run top to within days.