BlockBeats News, February 29, according to The Block, analysts at JPMorgan predict that the Bitcoin halving event planned for April may cause the price of Bitcoin to fall as low as $42,000. The halving event will reduce the reward for Bitcoin miners from the current 6.25 BTC per block to 3.125 BTC. This reduction will negatively affect the profitability of miners and lead to an increase in the cost of Bitcoin production. JPMorgan analyst Nikolaos Panigirtzoglou wrote in a report on Wednesday that the cost of Bitcoin production affects its price, which is expected to be $42,000 after the halving. Analysts pointed out that the cost of Bitcoin production has in practice served as a lower limit for Bitcoin prices. "Our estimated production cost center point is currently $26,500, which will mechanically double to $53,000 after the halving event." However, analysts said that the Bitcoin network's hash rate may drop by 20% after the halving, mainly due to As less efficient miners exit mining operations due to reduced profitability, this would reduce the estimated production cost center point to $42,000, based on average electricity costs of $0.05/kWh. “This $42,000 estimate is also the level we foresee Bitcoin prices may trend toward once the excitement surrounding the Bitcoin halving fades after April,” the analysts said. Bitcoin’s current price is around $62,820.