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InBrief
- Bitcoin miners achieved a record monthly profitability level in July 2024, following the cryptocurrency’s April halving that reduced block rewards.
- Miners earned an average of $57,400 daily from block rewards, JP Morgan analysts report.
- The industry’s profitability peaked months after Bitcoin set a record high above $122,000.
Bitcoin miner profitability reached its highest monthly mark since the April 2024 halving, according to JP Morgan analysts in a Friday report. Block reward revenue averaged $57,400 daily per EH/s (exahash per second) mined.
Cryptocurrency prices provider CoinGecko reported Bitcoin neared a record high of $122,838 in July, contributing to increased miner revenues despite a subsequent correction. “Mining profitability reached the highest level since the most recent halving, and ten of the thirteen miners we track outperformed BTC price appreciation (+8%)”, the analysts noted.
However, miners face ongoing pressure from rising operational costs, particularly electricity, and increasing network difficulty, with gross profit per EH/s down 50% year-over-year. “The financial narrative for miners requires careful analysis against higher electricity costs and increased mining difficulty,” the report emphasized.
Farside Investors noted cumulative token additions from the top 11 miners decreased in the first half of 2024, a trend likely continuing. MARA Holdings, the world’s largest miner, reported a 64% revenue jump and record net income of $808 million, though its share price fell 3.6% Thursday.
