JPMorgan Reports Rising Bitcoin Network Hashrate and Improved Miner Profitability in Early May

The Bitcoin network hashrate climbed 2% in the first half of May, averaging 885 exahashes per second (EH/s), according to a recent research note from JPMorgan.

Hashrate measures the total computing power securing Bitcoin’s proof-of-work blockchain and is often viewed as a gauge of mining competition and network security.

Alongside the hashrate increase, miners saw improved profitability this month. With bitcoin prices hovering around $104,737, mining gross margins expanded sequentially, JPMorgan said.

The hashprice, indicating daily mining revenue per unit of hashrate, rose 13% from April — a development the bank called “encouraging.”

“Miners generated roughly $50,100 in daily block rewards per EH/s over the first two weeks of May, marking a 13% month-on-month rise and a 3% increase year-over-year,” analysts Reginald Smith and Charles Pearce noted.

U.S.-listed miners continued to hold a strong position, accounting for 30.5% of the network’s hashrate—up 1.1% from April.

The market cap of the 13 U.S.-listed bitcoin mining companies JPMorgan monitors surged 24% this month, adding $4.6 billion in value.

Leading the pack was Bitdeer (BTDR), which surged 43%, while Greenidge (GREE) slipped 5%, the report said.