Bitcoin [BTC] Miners may be within the range of surrender due to the continuous increase in the hash rate. It was this Opinion Powered by CryptoQuant, an on-chain crypto-analytics platform.
However, the BTC hash rate was not the only risk.
Well, do not forget that the hash rate acts as the computing power of the mining process.
Here AMBCryptos Bitcoin Price Prediction For 2022-2025
in pressure time BTC hash rate Its all-time high (ATH) was at 261,576,490,591.99 per second. This data was according to CryptoQuant.
Similarly, coin mining difficulty has been extremely high since October 9 when it was decreased.
All the risks, the less rewards
Reportedly, increasing mining difficulty could further reduce miners’ earnings and profits. With the current situation, miners can find it the challenge out of low income conditions.
With low profitability running at full throttle, CryptoQuant indicated that Bitcoin miners could suffer an 80% year-over-year decline. CryptoQuant mentioned as well,
“In this case, the number of miners per hash has fallen to an all-time low, down more than 80% compared to the previous year. In the current market environment, miners are being paid very low, which could lead to another miner-related capitulation. “.
A look at the earnings of BTC miners showed that there has been a massive drop since the last day of September.
This situation indicates that miners are finding it increasingly difficult to maintain their profits. According to Glassnode, miner Revenues Which was around 1058.09 on October 10, has fallen to 908.54 at the time of writing.
Bitcoin miners also saw more downsides with block rewards dropping to 893.75, especially as the number of blocks mined appeared to be declining.
Glassnode data show up That the BTC blocks mined as of October 10 were 171. However, the mining difficulty has resulted in the daily number of blocks mined to be 143 as of October 13.
Is there a way out?
Given the drop, bitcoin miners expect a quick fix is imminent. But such situations may not go away any time soon.
At the time of writing, BTC is trade to 19,764 USD. While Coin King has regained a market cap of $380 billion, miners may need more than a small revival in their quest for better rewards.
However, higher asset prices may not be the only guaranteed way out, as cheaper electricity, efficient hardware and an improved mining pool may also play a role.
On the other hand, cryptocurrency exchange, Binance wants to help miners. In its October 14 release, Binance indicated that it was supporting the bitcoin mining industry with a $500 million lending project. As such, this development could help reduce pressure on the bitcoin mining community.