Bitcoin Miners Face Fourth Straight Month of Profit Decline in November, JPMorgan Says

Bitcoin Mining Profitability Declines for Fourth Straight Month in November: JPMorgan

Bitcoin mining profitability fell for the fourth consecutive month in November, according to a report from JPMorgan (JPM) released Monday.

Daily block reward gross profits dropped 26% month-over-month, analysts Reginald Smith and Charles Pearce noted. The Bitcoin network hashrate also slipped 1% to an average of 1,074 exahashes per second (EH/s), following a record high in October.

“Bitcoin miners earned an average of $41,400 per EH/s in daily block reward revenue in November, down 14% from October and 20% year-over-year,” the analysts wrote.

The hashrate reflects the total computational power used to mine and process transactions on the proof-of-work blockchain, serving as a gauge of competition and mining difficulty.

The combined market capitalization of the fourteen U.S.-based miners tracked by JPMorgan fell 16% month-over-month to $59 billion. Cipher Mining (CIFR) led the group with a 9% gain, bolstered by its recent Fluidstack deal, while Bitdeer (BTDR) underperformed with a 40% decline.

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