The Bitcoin network has reached an all-time high in terms of hash rate, beating most predictions.
The network’s total hash rate is currently 240 EH/s and is expected to increase further.
The current hash rate has tripled from the network’s lowest in July 2021 when miners were expelled from China due to a government ban. Hashrate then dropped to his two-year low of around 89 EH/s.
The rise in hash rate follows a steep rise in mining difficulty. On Monday, October 10th, Bitcoin’s mining difficulty saw its sharpest change of the year, increasing by 13%. With Monday’s adjustment, the current Bitcoin mining difficulty will be double his level recorded in July 2021.
The mining difficulty, which has now reached 35 Trillion, will seriously strain the already stressed Bitcoin miners, further reducing their revenue.
Looking at miner revenue per Exahash, the metric used to estimate daily miner revenue shows that miners across the network are squeezing profits. Miner revenue per exahash shows the miner’s estimated daily profit compared to the miner’s contribution to the network’s overall hashing power. It is calculated by dividing the percentage of his total income in USD or BTC by the current network hashrate.
data from glass node Miner revenues have been steadily declining since late 2021 and are expected to decline further as the Bitcoin price remains flat at $20,000. Current miner earnings are 4 BTC or about $80,000 per day.
As energy prices are expected to skyrocket during the winter months, miner earnings may drop even further. Bitcoin price volatility will also put additional strain on the mining industry.