Bitcoin Miners Are Expected to be Profitable in December, Jefferies Says

What to know:

  • December is expected to be a profitable month for bitcoin miners, the report said.
  • The miners enjoyed a strong November as the rally in the world’s largest cryptocurrency outpaced the rise in the network hashrate, the bank noted.
  • MARA Holdings mined the most bitcoin in November and its hashrate remained the largest in the sector, Jefferies noted.

As a seasoned analyst with years of experience under my belt, I must admit that the recent surge in Bitcoin mining profits for December is music to my ears. Having closely followed the crypto market and its miners, I can confidently say that this trend is a testament to the resilience and adaptability of these players in the ever-changing digital landscape.

As an analyst, I anticipate that Bitcoin’s surge to new peaks this week will likely enable miners to prolong their profits from November into December, as suggested in a report published by investment bank Jefferies on Wednesday.

The economic aspects of Bitcoin mining saw an enhancement in November, with the average price of Bitcoin climbing approximately 31%, while concurrently, the average network hashrate increased by nearly 4%, according to a recent analysis.

The hashrate, representing the total computing power dedicated to a network, is a proxy for competition in the industry and mining difficulty.

As a crypto investor, I found that the average daily earnings per exahash were approximately $55,649, marking a substantial 20.7% growth compared to the previous month, as stated by analysts Jonathan Petersen and Jan Aygul in their recent report.

As an analyst, I’ve observed that my own analysis indicates that U.S.-based Bitcoin miners extracted fewer Bitcoins in November compared to the previous month. However, when considering the entire Bitcoin network, they still managed to account for a substantial 24.7% of the total mining output.

As the weather grows colder with winter approaching, it seems that the bank has observed an improvement in uptime, which might partially be attributed to the drop in temperature.

In November, it was MARA Holdings (MARA) that led the way in Bitcoin mining, producing approximately 907 Bitcoins, while CleanSpark (CLSK) came in a close second with about 622 mined. The report points this out.

In the industry, MARA maintained the highest mining power at approximately 46.1 billion hashes per second (EH/s), with CleanSpark trailing closely behind at around 33.7 billion hashes per second, according to the report.

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2024-12-19 14:42