What to know:

  • Bitcoin mining profitability rose for the second consecutive month in December, the report said.
  • The bank noted that miners’ daily revenue and gross profit are still substantially below pre-halving levels.
  • The total market cap of the 14 mining stocks that the bank tracks fell 23% to $28 billion last month.

According to a research report from JPMorgan published on Monday, Bitcoin miners’ daily income and overall profit saw a two-month increase in December, reaching their highest points since April.

As the persistent surge of the world’s premier cryptocurrency exceeded the expansion rate of its network’s computational power, I observed a significant rise in mining profitability, according to my analysis.

Last month, I was raking in an average of approximately $57,100 each day from my bitcoin mining operations, given that each exahash per second (EH/s) I had at my disposal was generating this revenue. Compared to November, this represents a 10% increase in daily block reward income.

Analysts Reginald Smith and Charles Pearce noted that the daily income and overall profit margin for each EH/s are currently running 43% and 52% lower compared to their levels before the halving event.

In December, the overall mining and transaction processing power on our blockchain network increased by 6%, averaging at approximately 779 quintillion hashes per second (EH/s), as indicated in the report. Hashrate represents the collective computational strength used across the network.

The mining difficulty has gone up by 7% compared to the previous month and stands 27% greater than it was before the reward halving event in April, according to the bank. In contrast, the hashrate experienced a 54% increase in 2024, which is less than the growth rate of 103% seen in 2023.

In December, the combined market value of the 14 publicly traded Bitcoin mining companies monitored by the bank fell by approximately 23%, reaching a total of around $28 billion. However, this figure had increased by about 52% just the previous month, in November.

Last year, it was only TeraWulf (WULF) that surpassed the performance of Bitcoin, achieving a remarkable growth of 136%, according to the report. In comparison, Bitcoin itself increased approximately 120% during the same period.

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2025-01-07 12:47