If more highly efficient miners come online, this causes an oversupply condition, and prices should fall, not rise
Interesting thought, first of all the supply of bitcoin is very low, the effect of the supply increase doesn't really explain the price drop in a short term of 6 months (since january). The logic is here, when the price drops mining should be less incentivized and the hash rate should drop, but according to @jrcornel graph that didn't happen, so either miners are operating at losses now or they are more efficiently mining.
Yes exactly, the main point was that it is surprising that the hash rate continues to make new highs while prices continue to make lower lows.
The miners had already committed their investment. They have no other avenue to use their resources. So now they are cutting their losses by mining at losses. And so my argument that additional mining power will not be deployed for some time resulting in reduced growth of hash rate.
This is a good point. Some of these large scale miners took months or even years to get setup like they are right now, which means they mine whether prices fall or fly.