Bitcoin revenue per terahash nears record lows as hashrate soars

Bitcoin mining profits or “hash price”– a procedure of dollars made per TH/s each day– has plunged to levels not seen considering that the collapse of FTX in November 2022, while hash rate has actually reached new highs. Over the previous week, Bitcoin network hash rate topped 414 exahashes per 2nd (EH/s) on Aug. 18 marking a brand-new peak for the metric.The peak has actually seen network hash rate surging 54% from what it was at the beginning of 2023 and 80% over the previous 12 months, according to Blockchain.com.BTC hash rate and cost 1 year. Source: blockchain.comHowever, while the network looks great in terms of security, things are not so rosy for Bitcoin miners as income has fallen dramatically, striking levels when BTC was up to a market cycle low of around $16,500 in November 2022. According to HashPriceIndex, revenue is just $0.060 per terahash per second daily, around half of what it remained in early May when the Bitcoin Ordinals inscription frenzy triggered a heavy need for block space.Market expert Dylan LeClair discussed the falling earnings and hash rate peak stating that more efficient brand-new rigs will keep being produced, “however its nearly time for the rate to outpace,” implying that prices need to adjust upwards to keep mining successful at such high hash rates. Miner earnings per terahash. Source: GlassnodeRelated: Bitcoin miners require BTC price over $98K by the halvingBitcoin miners have reportedly been counting on funds from stock sales in the 2nd quarter to keep them afloat throughout the bear market.On Aug. 24, Bloomberg reported that the 12 major openly traded miners raised about $440 million through stock sales in Q2. Significant $BTC miners remain in BIG problem heading to the halving To avoid selling the ~$ 900M BTC theyre hoarding, miners relied on financial obligation and diluting shareholdersNow those lifelines are drying up. Soon their only choice is dumping into the markethttps:// t.co/ I27tvV4kxu– Rho Rider (@RhoRider) August 26, 2023

Mark Jeftovic, who runs the Bitcoin Capitalist newsletter, stated “Some mining business are diluting shareholders at an extreme rate,” prior to including “If they are diluting you faster than Bitcoin is going up, then you are going the wrong way on a treadmill.” Magazine: Recursive engravings: Bitcoin supercomputer and BTC DeFi coming soon