How Does the Efficiency of a Miner’s Hardware (ASIC Vs GPU) Affect Their Breakeven Point?

The efficiency of a miner's hardware directly and significantly affects their breakeven point. More efficient hardware, such as application-specific integrated circuits (ASICs) for specific algorithms, consumes less electricity per unit of hashrate compared to general-purpose graphics processing units (GPUs).

Lower electricity consumption translates to lower operational costs, which in turn lowers the coin price required for the miner to break even. This makes highly efficient miners more resilient to price drops and better positioned during market downturns.