Bitcoin Mining Revenue Drops, Hits Yearly Low
Shawqi Dalimi 2024-08-12 1 minute
Bitcoin mining revenue, which is primarily generated from block rewards and transaction fees, has been on a steady decline for two weeks, hitting a new yearly low on August 11.
Previous Forecast of Revenue Drop After Halving Event:
The Bitcoin mining community had long anticipated a significant drop in revenue following the halving event on April 20, which saw mining rewards reduced from 6.25 BTC to 3.125 BTC.
Despite the challenges, funding continued to support mining operations thanks to the rise in Bitcoin prices and the buzz around other protocols within the Bitcoin ecosystem.
Major mining companies such as Biftfarms have also been proactive, including extensive upgrades to their mining equipment to ensure continuity and profitability amid the current challenges.
Since the big drop in May, daily revenue for Bitcoin miners has seen a temporary recovery before recording a two-week steady decline, hitting a new yearly low.
The main factors that contributed to this decline include: the ongoing bear market, the falling price of Bitcoin, the increase in network difficulty, and the liquidations resulting from these conditions.
