Bitcoin miners are going through a period of bad predictions and cheap equipment

NotiHash is a Bitcoin mining newsletter from CriptoNoticias. It is posted on our website every week. Today, Thursday, November 24, 2022, is the 36th issue, published in block 764,555.

The crisis that caused the FTX bankruptcy in the bitcoin mining industry could lead to a negative spiral. Miners struggle to find the best strategies to overcome the difficulties of achieving profitability these days.

In this context, the network has set historical records for the participation of bitcoin miners. However, these new signs describe the amount of pressure the market is putting on miners’ short-term plans.

Difficulty registering and low hash rate

It has never been so difficult to mine Bitcoin as it is now, just when the network hash rate seems to be starting to drop. Source: brains.
  • Average hash rate: 250 EH/s (week)
  • Maximum hash rate reached: 267 EH/s (weeks)
  • Difficulty level: 36.95 trillion (Trillions)

The hash rate or the total computing power the Bitcoin network accumulates has plummeted, after hitting an all-time high of 279 EH/s two weeks ago. In fact, this week the hash rate peaked at 237 EH/s, which didn’t stop the network’s difficulty level from increasing.

Bitcoin mining difficulty is at an all-time high, which becomes relevant in a context conditioned by a bear market. The current low profitability contrasts with the increased competition from miners To get a bitcoin block reward.

With the current drop in hashrate, the difficulty level correction is estimated at 8%.

Bitcoin mining reward

Bitcoin miner rewards earnings drop as the market price of BTC decreases. Source: brains.
  • Daily earning range for miners: between $13.06m and $17.4m (week).
  • Total Bitcoin miner rewards: 933.56 BTC or $15.4 million (average of 144 blocks between Nov 23-24).
  • Average rewards per transaction: 0.0031605 or $52.18 (average of 144 blocks between Nov 23-24).
  • Reward paid per transaction: 0.0001136 BTC or $1.88 USD (average of 144 blocks between Nov 23-24).
  • Source: and Braiins.

The trend is taking Bitcoin miners’ profits to their lowest in 3 years. Indeed, the miners’ current earnings contrast with the earnings obtained at the end of last year, when revenues of $50 million per day were recorded.

In this scenario, a slight increase in total daily commissions is also seen Does not positively affect average earnings in dollars (USD) Bitcoin miners. Currently this equates to between 25 BTC and 33 BTC per day.

This parity between the bitcoins earned by commission miners and their dollar value has a negative sign due to market conditions. After the FTX scandal, the price of the coin dropped from $21,000 to $16,000.

Hash price and hash value of bitcoin

The trend of low profitability in bitcoin mining continues, according to hash rate and hash value. Line. brains.
  • Retail price: $0.058/w/day
  • Hashvalue: 353 sb/th/day

The hash rate, one of the main indicators of profitability for bitcoin miners, remains below $0.06/s/day. The market price crisis increases miners’ concerns about the future of their operations.

At the moment, only miners with highly efficient ASIC equipment will make a profit. In addition, it seems necessary to have fairly cheap electricity rates to achieve profitability goals.

The retail price is a value assigned to a unit of account. This allows an estimate of earnings in dollars (USD) for each splatter added by their miners to the network in the period of one day.

The hash value is a value obtained when doing the same calculation based on BTC. This value is important if the miner’s strategy is to hold Or save bitcoin, waiting for the price to increase.

The average commissions users pay in the network to confirm their transactions has been maintained since a transaction jam occurred last week. Therefore, the hash value is maintained above the mark of 350 sats/TH/day.

The FTX situation did not prevent Bitcoin from achieving an all-time high

The current sum of bitcoin miners’ efforts (or competition for the reward) has created the conditions for a new record production.

This contrasts with the trends of past years, when Bear markets spawned the separation of mining equipment. The low profitability of bitcoin mining operations is being overcome with new strategies.

Another bitcoin market record

An all-time low was recorded this week in the bitcoin markets. It is related to the bear market, but it has more meaning for those people or companies who want to get into the bitcoin mining business.

New York bans mining farms

New York State (USA) has ideal conditions for mining. Among these is the electricity prices, as there are large generators nearby. A new measure by its authorities, who have been hostile to bitcoin for the past few years, bans bitcoin miners if they don’t meet a certain condition.

Huge bitcoin mining farm in an inhospitable place

The ingenuity and determination of some bitcoin miners had an unexpected result: the creation of a massive 210 megawatt mining farm in the region. away from the big urban centers. To achieve their goal, they convert an old factory into a home for thousands of miners, who provide jobs for hundreds of people.

The manufacturer of cryptocurrency mining GPUs is suffering from a market crisis

They do not mine Bitcoin, but with graphics cards you can mine networks like Ethereum Classic and Litecoin. In the past few months, one of the major manufacturers of this type of computer component has recorded a significant decline in its income. The main reason is related to An event that occurred nearly two months agowhich changed the face of one of the leading cryptocurrency networks.

picture of the week

Tor Demeester, editor of Satoshi Papers, I suspect A series of images with artificial intelligence called Midjorney. They all refer to Bitcoin or some cryptocurrency related topic. In many of them you can see characters doing seemingly impossible things. Although it is already possible, such as sending bitcoin (BTC) over radio waves.

This character from the mountains sends or receives bitcoin with a reconstructed radio-like device. Source: Tor Demeester / Twitter.

Learn more about bitcoin mining at Cryptopedia

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