Bitcoin Mining Economics Show Positive Trends in December, According to JPMorgan
JPMorgan's latest research reveals that Bitcoin mining profitability has improved, with a 5% rise in hashprice since late November.
Bitcoin (BTC) mining profitability has significantly improved as the hashprice, an indicator of daily profitability, has increased by 5% since the end of November, according to a report from JPMorgan. This trend has occurred as the value of Bitcoin has risen faster than the network's hashrate growth.
Key Insights
- The hashprice increased 5% this month as mining economics improved.
- The total hashrate of the miners tracked now represents approximately 29% of the global network.
- The market cap of the tracked miners decreased by $1.5 billion in the initial weeks of December.
The network's hashrate has risen by 6% this month to reach an average of 773 EH/s. Analysts Reginald Smith and Charles Pearce noted that miners earned about $57,300 in daily block reward revenue per EH/s during the first two weeks of December, marking the highest earnings in seven months, albeit around 40% below pre-halving levels.
The combined hashrate of the fourteen U.S.-listed miners tracked by the bank has surged nearly 94% year-to-date to 222 EH/s. While their market cap fell 4%, it had risen over 50% post the U.S. presidential election.
Read more: Bitcoin Mining Profitability Improved in November, JPMorgan Says
