According to market estimates, about 50% of BTC miners went offline.
At the moment, the BTC mining sector faces a massive hash-power relocation in its history. Keep in mind that some leading cryptocurrency miners plan to vacate to different regions following the recent crypto clampdowns by China. A renowned on-chain analytic firm Glassnode, recently declared that about 50% of BTC miners remain offline. However, operational Bitcoin mining firms have witnessed revenue increases over the past few days.
Remember, Hash Rate reached record peaks in April this year as the leading asset, BTC, traded around $60,000. Crypto miners accumulated an income of about $60 million in a day in April. For now, the daily aggregate profitability ranged between $25 million and $30 million a day. However, only a smaller miner’s pool shares these returns. That translates to the same BTC issuance per day but fewer participants for loss sharing. With that, the recent mining difficulty changes have seen operational miners incurring similar OPEX expenses, but the profitability surged almost two times. With such moves, BTC mining revenues approach the April levels. That is according to Glassnode data. In June this year, Chinese BTC miners magnified selling pressure because of severe upsurges in logistic expenses sustained by the relocating mining companies. However, the recent reports indicate that the miner’s migration has positive sides as operational dealers enjoy increased profits.
BTC Mining Metrics
Glassnode platform noted a substantial volatility increase in various BTC mining metrics in the past few days due to the crackdowns by China. Miners will experience slowness in block mining when some hash powers come online. That would happen until the mining difficulty drops. The block interval per day increased to a near-term high of about 32.6 mins (1,958 seconds) this week. That is 326% more than the target at 600 seconds. Market players enjoy lower fees when BTC mining power reduces. That is because of the reduced activities in the network. On Monday, IBC Group declared its decision to suspend its ETH and BTC mining activities in China.
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