This bachelor thesis focuses on the connection between the price and cost of bitcoin. Its price has experienced significant rises and falls several times over the past decade, while mining costs, which include the costs of electricity and computer equipment, play a crucial role in shaping the price of bitcoin. Understanding this connection is essential for analyzing the cryptocurrency market and can contribute to better predictions of future price movements. Additionally, it is important to examine how changes in the regulatory environment, technological development, and market trends reflect on mining costs and prices, providing a more comprehensive insight into the dynamics of this innovative financial instrument.
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