Bitcoin’s hashrate saw an increase this week, briefly topping 600 exahash per second (EH/s) before settling at 598 EH/s. The hashprice, representing the value of 1 petahash per second (PH/s) of hashing power per day, currently stands at around $57 per petahash.
The mining landscape for Bitcoin is shifting, with miners earning approximately $410.5 million as of June 12, 2024, with $65.62 million coming from onchain fees. This month poses challenges for miners in terms of revenue, potentially making it one of the lowest-earning months of the year unless the price of Bitcoin rises. Earlier in the year, miners received 6.25 BTC per block, but now they only receive 3.125 BTC in rewards, in addition to fees.
Between March 12 and April 21, miners were earning at least $100 per petahash daily. One petahash is equivalent to 1,000 terahash per second (TH/s) or 1 quadrillion hashes per second (H/s) of computing power. From May 1 to June 12, the hashprice fluctuated between $44 and $57, with a brief spike on June 8 reaching $94 per petahash.
Decreased revenues have led to weaker miners dropping out of the competition, resulting in increased centralization of mining pools. Foundry USA and Antpool now control 54.3% of Bitcoin’s global hashrate, with Foundry alone holding 28.3% or 169.55 EH/s.
This translates to 169,550 petahash or 169 quintillion H/s, earning an estimated $9.66 million daily at $57 per petahash. However, achieving this output would require a massive 847,750 S21 miners. The consolidation of power among major mining pools is expected to continue as the Bitcoin mining landscape evolves.
The fluctuating hashprice and the halving of block rewards this year have added economic pressures on miners, creating a more competitive environment. Moving forward, miners’ ability to adapt and innovate will be crucial in navigating the uncertainties of profitability. Only the most advanced and cost-efficient miners are likely to succeed in this ever-changing environment.
How do you think the fluctuating hashprice and reduced block rewards will impact the future profitability of Bitcoin mining? Share your thoughts in the comments below.
