Bitcoin miners face deepening margin squeeze as revenue falls below production costs
The Block·
60-second summary
Bitcoin miners are facing a deepening margin squeeze as revenue falls below production costs, with an estimated 20% now unprofitable at current prices, causing stress on the network. This squeeze is exacerbated by high energy costs and equipment expenses, further eroding profitability and potentially leading to increased selling pressure on the cryptocurrency market.
An estimated 20% of miners are now unprofitable at current prices, and the stress shows up at the network level, too.