Financial Squeeze Tightens for BTC Miners

The halving event has resulted in a huge decrease in the amount of Bitcoin that miners are currently earning, and the hefty fees they were previously receiving after block height 840,000 have vanished. Some miners might have had enough financial cushioning from these high fees in the beginning to weather the present decline in revenue. Those who did not benefit from these payments, however, may have more difficult obstacles in the future.

The hashprice of Bitcoin or the expected value of 1 PH/s of hashing power per day was around $51.66 per petahash, as of April 28 at 5 a.m. Easter Time.

Miners were earning above $100 per petahash per day before the halving event happened this year reducing the block rewards from 6.25 BTC to 3.125 BTC.

Whatever one's viewpoint, miners have experienced a substantial decrease in revenue, akin to a drastic 50% off clearance sale.

Although there has been a slight decline, the buffer obtained after halving has helped maintain a robust hashrate, staying over the 630 exahash per second (EH/s) threshold.

Miners of Bitcoin hit a record in March, accumulating over $2 billion in revenue with around $85 million from onchain fees, in terms of financial runway. Onchain fees for April are also strong, with revenues at $1.67 billion and $269 million. Bitcoin price is now below $63,000 per unit and potentially decreasing further, miners may experience increasing financial pressures and prices going below the mark of $55,000 could further weaken revenue amid an already fragile market.

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