Bitcoin miners have seen a significant 8.4% decrease in profits over the past three days, in line with the drop in bitcoin prices. This has resulted in the network’s hashrate falling below the 600 exahash per second (EH/s) threshold.
The decrease in profits can be attributed to the decline in the hashprice, which represents the revenue generated from 1 petahash per second (PH/s) of hashing power per day. Since June 14, 2024, the hashprice has decreased by 8.4%, dropping from $57.36 to $52.53 per petahash.
On June 12, bitcoin was trading at over $69,000, but the price has since fallen to $65,539, impacting the hashprice and subsequently affecting miners’ profits. This drop has led to a reduction in the network’s total hashrate, with computational power decreasing on June 14.
Although the hashrate briefly surpassed 600 EH/s, it has now stabilized at 594 EH/s based on the seven-day moving average, with the three-day moving average hovering around 590 EH/s. Despite these fluctuations, block intervals remain consistent at nine minutes and 40 seconds.
The upcoming difficulty adjustment on June 20 is expected to see only a slight 0.1% increase, following a minor decrease of 0.79% in the previous adjustment. With the recent halving reducing block rewards and lower bitcoin prices affecting the hashprice, miners are facing heightened pressure.
Julio Moreno, head of research at cryptoquant.com, has observed that miners are selling off their BTC reserves more than usual in response to these challenges. As market conditions evolve, the resilience of miners will be crucial in maintaining Bitcoin’s security.
What are your thoughts on the struggles faced by bitcoin miners due to declining revenues? Feel free to share your opinions in the comments section below.
