Categories: Bitcoin Latest News

Bitcoin Mining Costs Soar as Hashrate Hits Records: TheMinerMag

Bitcoin BTC miners are facing mounting pressure as the network’s hashrate and difficulty continue to climb, tightening margins even as bitcoin’s price holds steady, according to TheMinerMag’s monthly report.

The network’s mining difficulty hit a record 126.98 trillion, propelled by a 14-day average hashrate of 913.54 exahashes per second (EH/s). Transaction fees in June fell below 1% of block rewards, and hashprice dropped to $52 per PH/s before rebounding slightly.

Escalating competition and energy costs are expected to drive production expenses above $70,000 per BTC, up from $64,000 in the first quarter of the year, the report said.

To remain competitive, public miners like MARA Holdings (MARA), CleanSpark (CLSK), Riot Platforms (RIOT), and IREN (IREN) are accelerating buildouts. MARA grew its hashrate by 30% in May, while HIVE (HIVE) added 32% after energizing a new facility in Paraguay. Cipher Mining (CIFR) is targeting a 70% boost by expanding its Texas operation.

Top-tier ASICs now cost between $10 and $30 per terahash, the report said, with operational payback periods stretching as long as two years. That’s assuming a $0.06/kWh electricity rate — already out of reach for some. Terawulf, for instance, paid $0.081/kWh in the first quarter, pushing its fleet hashcost up by over 25%.

Meanwhile, mining equities are decoupling from bitcoin’s price performance. IREN, Core Scientific (CORZ), and Bit Digital (BTBD) were all in the green over the last month, while Canaan (CAN) and Bitfarms (BITF) were both down double digits during the same time period.

The shift suggests that investors are paying closer attention to business models rather than just Bitcoin’s price action.

Read MoreCoinDesk: Bitcoin, Ethereum, Crypto News and Price Data[#item_full_content]

AddThis Website Tools

Recent Posts

This One Metric Suggests Bitcoin Has Plenty of Room Left to Run

Bitcoin (BTC) reached new all-time highs just above $112,000 on Wednesday, although the increase was…

1 hour ago

This Chart Points to a 30% Bitcoin Price Boom Ahead: Technical Analysis

This is a daily technical analysis by CoinDesk analyst and Chartered Market Technician Omkar Godbole.…

2 hours ago

Bitcoin Consolidates Below All-Time High as Spot Market Drives Momentum

Bitcoin’s price movement remains in focus as it continues to consolidate just below its previous…

2 hours ago

Shiba Inu Smashes Triangle Pattern Against Bitcoin, But Looks Weak Against Dogecoin

Shiba Inu's (SHIB) dollar-denominated price hit a one-month high, charting a bullish trend against Bitcoin.…

4 hours ago

Bitcoin Rally Ahead? DXY Breakdown Suggests Capital Shift To Risk-On Assets

The US national debt recently hit a new all-time high (ATH), surging above $36.5 trillion…

4 hours ago

Bitcoin Bulls Increase Exposure as Trump’s Pressure on Fed Pushes $15B Into BTC ETFs, Analyst Says

The U.S.-listed spot bitcoin (BTC) exchange-traded funds (ETFs) have attracted billions in investor capital in…

5 hours ago