Based on data released by CoinMetrics, the average hash rate of the BTC network has risen to a fresh ATH (All-time High), and different sources around the situation disclosed that this surge has contributed partly to the recent surge in demand for BTC mining machines and semiconductor chips.
Earlier this year, the price of Bitcoin has hit a fresh all-time high at about $61,000 and has since then stayed perpetually over the $55,000 price mark.
The Chief Technical Officer of Luxor, a well-known crypto mining firm in North America, Ethan Vera, said that the huge rise in the price of BTC plus the massive reduction on the ASIC Semiconductor chips has affected the mining economy and made it more favourable to miners. Currently, a reasonable number of them are now running the operation at mining margins of over 85% per cent.
The Miner Revenue of Bitcoin Fluctuates
Interestingly, the Luxor CTO hinted further that the recent conditions in the market have made earning reasonable profits with machines that are even tagged obsolete in time past feasible.
He said that many miners are looking at all possible machines to mine, even those whose launching dated back to 2014. Every client ensured all their rigs are plugged in, including the oldest machines. In a time like this, there is no slothful hash rate in the industry.
Despite the halving event of Bitcoin that occurred in May, which halved the miners’ reward for a block to 6.25 BTC, miners since the beginning of 2021 have been making massive profits. This is all thanks to the surge in the price and the transaction fees.
The global revenue generated by BTC miners in February 2021 hits its All-time high of about $354.4 million, which is about $50 million in a day. In March 2021, the income for BTC miners in a day rose again to a new all-time high of $52.3 million.
Much interestingly, reports show that BTC miners are holding their tokens instead of dumping them in the crypto market. Everyone still believes that the current bullish trend of BTC has not reached the expected peak.