Bitcoin miners are experiencing a substantial uptick in profitability as the price of Bitcoin continues to surge. The rise in Bitcoin’s valuation is directly benefiting miners, who are seeing a significant jump in hashprice—the amount of daily revenue they earn per petahash per second (PH/s) of computational power used to secure the network.
On January 13, Bitcoin’s hashprice was at its lowest point in the past month, with 1 PH/s earning miners only $52.22. However, just days later, the situation has drastically improved. As of January 17, hashprice had risen by 16.53%, reaching $60.85 per petahash. This increase reflects a direct correlation with Bitcoin’s price surge, which recently broke the $105,000 threshold, providing a substantial boost to miner revenues.
Despite this improvement, the current hashprice remains below its peak from December 17, when it hit $63.81 per PH/s. That surge was closely aligned with Bitcoin reaching its all-time high of $108,364. Nevertheless, the recent 16% jump is still noteworthy, as it provides miners with higher earnings for their computational efforts.
Alongside the rise in hashprice, Bitcoin’s transaction fees have also seen a slight increase. On January 12, the average transaction fee stood at $1.217. As of today, it has climbed to approximately $1.95, or 0.000019 BTC, which corresponds to 7.4–9 satoshis per virtual byte (sat/vB).
Meanwhile, Bitcoin’s network hashrate remains below its January 6 peak of 824 exahashes per second (EH/s). Currently, the hashrate is at 788.62 EH/s, reflecting a slight decrease. This decline in hashrate, paired with slower block intervals, is expected to lead to a downward adjustment in mining difficulty. Projections indicate a 3.06% reduction in mining difficulty on January 27, though these figures could change as new data comes in throughout the week.
As of mid-January 2025, Foundry, the largest Bitcoin mining pool, controls 33.23% of the network’s total hashrate, equating to 260 EH/s. Following closely is Antpool, which manages 17.62% of the total hashrate, amounting to 138 EH/s. Viabtc ranks third with 13.6% of the network’s computational power, contributing 106 EH/s. In total, 69 entities are currently mining on the Bitcoin network, contributing their computational resources to secure the blockchain.
The increased hashprice is a clear indicator that Bitcoin miners are benefiting from the ongoing bull market. However, it’s essential to note that the mining landscape remains dynamic, and fluctuations in the network’s hashrate and difficulty can change the mining environment at any time.
As Bitcoin continues to show strong price momentum, miners are likely to see further opportunities for profit, especially if hashprice continues to rise in tandem with Bitcoin’s value. Additionally, the expected difficulty adjustment later this month could offer further relief to miners, reducing the computational challenge and potentially improving profitability.
In conclusion, Bitcoin miners are currently in a lucrative phase, enjoying increased earnings from the combination of higher Bitcoin prices and an improved hashprice metric. The future looks promising for miners, with continued growth in Bitcoin’s value and network activity contributing to their success.
Steven is an explorer by heart – both in the physical and the digital realm. A traveler, Steven continues to visit new places throughout the year in the physical world, while in the digital realm has been instrumental in a number of Kickstarter projects. Technology attracts Steven and through his business acumen has gained financial profits as well as fame in his business niche. Send a tip to: 0x200294f120Cd883DE8f565a5D0C9a1EE4FB1b4E9
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