Bitcoin Miners Hit New Low in Daily Revenue for 2024

Bitcoin Miners Face Record Low Daily Earnings in 2024

Bitcoin Miners– Revenue earned by Bitcoin miners, primarily through block rewards and transaction fees, has seen a consistent decline over the past two weeks, reaching a new yearly low on August 11. On that day, daily earnings for Bitcoin mining fell to $2.54 million, the lowest figure since October 2023. This drop follows the Bitcoin halving event on April 20, which halved mining rewards from 6.25 BTC to 3.125 BTC, setting the stage for decreased revenues.

Struggles and Strategic Shifts in the Mining Sector

The significant reduction in daily revenue, dipping below $3 million for the first time in May, contrasts sharply with the $6 million per day earned in the first four months of 2024. While rising Bitcoin prices and hype around other Bitcoin ecosystem protocols initially supported mining operations, a combination of a bear market, lower Bitcoin market prices, increased network difficulty, and resulting liquidations have pushed revenues down.

To adapt, major Bitcoin mining firms like Bitfarms are planning equipment overhauls to stay profitable amid these revenue uncertainties. Despite the challenging landscape, Bitfarms’ stock surged nearly 22% following a better-than-expected second-quarter earnings report, although its total revenue of $42 million still marked a 16% decline from the first quarter and fell short of analyst estimates. The decrease was attributed to smaller block rewards.