Hashprice has plunged to its lowest level since April, when bitcoin traded around $76,000, and now sits at $43.1 per petahash/second (PH/s).
Hashprice, a term coined by Luxor, refers to the expected value of one terahash per second (TH/s) hash power per day, which represents how much a miner can earn from a certain amount of hashrate. It is affected by bitcoin’s price, network difficulty, block grants and transaction fees.
As bitcoin has corrected about 20% from its October peak to $104,000 and transaction fees remain at bear market levels, miners’ revenues have come under increasing pressure.
According to mempool.space, processing a high-priority transaction currently costs around 4 sat/vB ($0.58), while average annual transaction fees are at their lowest level in years.
Hash rate, the total computational power used by miners to secure the bitcoin network, remains just below all-time highs of over 1.1 zettahashes per second (ZH/s).
This has coincided with a recent difficulty adjustment that reached an all-time high of 156 trillion (T), an increase of 6.3%.
The difficulty adjustment is recalibrated approximately every two weeks to ensure that new blocks are mined approximately every ten minutes, maintaining network stability when mining fluctuates.
Falling bitcoin prices, low transaction fees, and record difficulty all weigh on the profitability of bitcoin mining.
As a result, bitcoin miners have shifted to AI and high-performance computing (HPC) data center operations to ensure more reliable revenue streams. By locking in long-term contracts with data companies, miners can stabilize cash flow and reduce dependence on volatile bitcoin market conditions.
