Bitcoin Miner Revenue Hits Lowest Levels of the Year: Is Capitulation Inevitable?

Bitcoin Miners Struggle as Revenue Hits Lowest Point Since 2023

Steep Decline In Miner Revenue

Bitcoin miners are feeling the pinch as industry revenues hit their lowest point since early 2023 following the latest halving. Data from on-chain analytics platform CryptoQuant shows a sharp decline in Bitcoin’s “Puell Multiple” immediately after the halving between April 19 and April 20. The Puell Multiple compares the value of daily BTC issuance in USD terms to the 365-day moving average, and with the reduction in new BTC issued to miners, the multiple has dropped significantly.

A low Puell multiple indicates less competitive miners are turning off their rigs, making remaining miners more profitable. As of April 28, the multiple stood at just 0.73, well below its 365-day moving average of 1.43. CryptoQuant CEO Ki Young Ju noted that miners now face the choice of capitulation or waiting for a rise in Bitcoin’s price.

The Impact Of Runes

Despite the overall decline in miner revenue, the day of the halving saw a temporary boost in profits thanks to the launch of Runes, a new protocol standard for minting tokens on Bitcoin. This led to a surge in network fees, with miners netting significant revenue from transaction fees. However, fees have since returned to normal levels, and miner revenue has dropped to $28.5 million per day.

The tightening profit margins in the mining industry raise concerns about which firms can survive the next halving epoch and how Bitcoin’s market price might be affected. With miners facing tough decisions about their operations, the future of Bitcoin mining remains uncertain.


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