Bitcoin miners face market exit pressure as hash price drops to critical levels

Bitcoin miners face financial pressure as the hash price drops to prices that may force them out of the ￰0￱ cryptocurrency mining sector is facing challenges stemming from declining Bitcoin prices, rising energy costs, and increasing network difficulty, leaving miners in a state of ￰1￱ showed that BTC mining hash price has declined to $42 per petahash per second (PH/s). The hasprice PH/s figure determines the expected daily revenue earned per unit of computational power, helping miners to measure mining ￰2￱ July, PH/s was roughly $62, marking a decline of more than 30% at the current ￰3￱ BTC miners shift focus to AI and data center infrastructure services Smaller miners may be forced out of the market due to high operating ￰4￱ far, most miners are scaling down operations and exploring new avenues of revenue generation to act as a buffer against potential ￰5￱ hash price near $40.) hardware form part of the challenges affecting ￰6￱ challenge is the surge in electricity costs, which leaves miners barely breaking ￰7￱ mining firms have also shifted their focus to AI solutions, data centers, and high-performance computing (HPC) services to gain access to alternative revenue ￰8￱ and data center sectors rely on large-scale computing infrastructure that is similar to crypto ￰9￱ instance, Cipher Mining signed a $5.5 billion deal to supply Amazon Web Services cloud infrastructure with computing power for 15 ￰10￱ also signed a $9.7 billion GPU computing deal with ￰11￱ analysts, however, have warned that relying on AI infrastructure services requires large upfront capital and specialized expertise, which may limit participation to large mining ￰12￱ network hashrate climbs above one zetahash per second The Bitcoin halving event, which occurred in April 2024, increased competition among miners for the limited block rewards, reducing from 6.25 BTC to 3.125 BTC per ￰13￱ on CryptoQuant analysis, Bitcoin’s network total hashrate, which measures the combined computational power required to secure the network, rose above one zetahash per second (ZH/s).

The increase is due to significant participation from industrial-scale miners and improved hardware ￰14￱ hashrates increase the difficulty of mining new blocks; hence, the cost to mine a single Bitcoin block is climbing, regardless of the market price of ￰15￱ climbs above one zetahash per second.