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Bitcoin mining growth slowed to an eleven-month drop in May

  • News
  • June 2, 2022
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Mining nodes had a bad month in May, with income and earnings plummeting. Yet, transaction levels continue to be strong.

As the crypto season intensifies, bitcoin mining income and efficiency have dropped sharply, in lockstep with the market for securities.

May has been one of the deadliest months in recent memory for Bitcoin users, with income and earnings continuing to plummet. As per information from Ycharts, which sourced statistics from Blockchain.com, Bitcoin’s everyday mining earnings fell by as much as 27% in May.

The statistics company recorded a daily income of $40.57 million for BTC producers on May 1, but it had dropped to $29.37 million by the end of every month. The daily earnings from mining have reached an all-time high.

Daily resource extraction income peaked in April 2021 at about $80 million but has since dropped 62% to present levels.

As per Bitinfocharts, mining productivity, which is measured in daily dollars per terahash per second, has experienced a declining point since October 2020. Mining efficiency for 1 THash/s is presently 0.112 USD per day, according to the cryptocurrency analytics source.

Moreover, the measure has been down by 56% since the start of every year and is down by even more than 75% from its 2021 peak of 0.450 USD/day per TH/s.

Meanwhile, as per Bitinfocharts, blockchain system hash rates are the highest, with the present typical weekday at 211.82 exahashes per sec. On May 2, the statistic was a little over 250 EH/s, which was a 16 percent drop from its all-time maximum.

Large activation speeds, but poor revenue, could indicate that the Bitcoin mining business is far more competitive than initially assumed. Miners have turned off their equipment in previous market downturns as property prices fell and activities became momentarily unsustainable.

As per Glassnode, the ratio of miners to exchange movements has just reached a four-month peak, indicating that they may be preparing to liquidate a few to meet the declining profit.

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