binance-banner.jpg

Bitcoin's 5% Drop in Value Puts Pressure on BTC Mining Operations and Older ASIC Rigs


Bitcoin's 5% Drop in Value Puts Pressure on BTC Mining Operations and Older ASIC Rigs

During the last seven days, the price of bitcoin has dropped 4.8% from a high of $9,700 on June 24, to a low of $8,965 on June 27. Since then the price has increased and the price per bitcoin is back above the $9k zone but much lower than before. The lower price has affected the profits of miners hashing away to find blocks on the network. Ever since they lost 50% of the block reward on May 11, gathering profits have been tough on miners with bitcoin prices at these levels. Mining bitcoin is an extremely competitive industry and after the BTC reward halving on May 11, 2020, it has been much harder to mine the rare digital currency. At the time of publication, the price of a single BTC has been hovering between $9,050 to $9,250 during the last few days. This has given the crypto asset an overall market valuation of between $165 billion to $170 billion during the course of the week. The price is over 4.8% lower than it was on June 24, when BTC prices were hovering around $9,700 last Wednesday. Of course, the price of BTC directly affects miners and the tens of thousands of ASIC mining rigs housed in warehouses all around the world. An example of this trend is how the Bitmain Antminer S19 Pro (110TH/s) is the only profitable machine if a mining operation is paying $0.12 per kilowatt-hour (kWh). Read More...