Advertisement
AD

Main navigation

Bitcoin Facing Issues with Hashprice as Miners Leave Market Massively: Details

Advertisement
Sun, 19/06/2022 - 16:15
Bitcoin Facing Issues with Hashprice as Miners Leave Market Massively: Details
Cover image via unsplash.com

Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.

Read U.TODAY on
Google News

Previously, U.Today covered that Bitcoin mining profitability is at all-time lows after the digital gold lost ground around $20,000 and dropped far below the 2017 all-time high and is now struggling to get back above the psychological support.

Advertisement

Besides the low Bitcoin price, the chief difficulty of the network and rising electricity costs all over the world are enormously pressuring Bitcoin and crypto miners. The hashprice is currently at its October 2020 lows.

Many metrics suggest that miners are turning off mining rigs on a massive scale to minimize their losses because of the low or almost nonexistent margin. In addition to mining rigs being turned off, miners' addresses' activity suggests that they are massively selling their holdings to cover a portion of the loss caused by the unexpectedly negative market performance.

Unfortunately, the majority of GPUs and mining devices are no longer profitable, which may lead to the exponential drop in the hashrate in the upcoming weeks as more big farms decide to go offline to avoid massive losses.

Related
Peter Brandt Predicts Ether May Collapse to $300

The average breakeven price for a mining rig is currently sitting at approximately $21,000, which had already been broken by BTC as it struggles to gain a foothold even above $20,000.

For miners to be able to comfortably mine BTC and gain some decent profit from it, the orange coin should reach at least $30,000. The brighest part of the story is that with the rapidly decreasing hashrate, we will see a respectable drop in the difficulty of the network.

In hindsight, the massive selling pressure incoming from miners may become a capitulation point for the market bleeding for the last month.

Advertisement
TopCryptoNewsinYourMailbox
TopCryptoNewsinYourMailbox
Advertisement

Latest Press Releases

Our social media
There's a lot to see there, too

Popular articles

Advertisement
AD