- Bitcoin mining revenue in August 2024 dropped to $827.56M, the lowest since September 2023
- The decline follows Bitcoin’s fourth halving in April, leading to increased mining difficulty and lower transaction volumes
- Top mining pools, Foundry USA and Antpool, continue to dominate the sector despite the revenue drop
August was an especially cruel month for Bitcoin miners as revenues plunged to a fresh low, per records—only a couple of months after the April halving. But is everything right in the Bitcoin mining ecosystem? Let’s take a closer look.
Record Low Revenues for Bitcoin Miners in August
According to recently released figures, in August, the Bitcoin mining industry broke a negative record. Revenue last month came in $99.75 million short of that seen in July, establishing a new historic low since September 2023.
Per data from Bitbo, which focuses on real-time on-chain Bitcoin analysis, revenues among miners totaled $827.56 million last month, down from the $927.35 million earned in July of this year.
August was one of the worst months for miners, which showed the after-effects of Bitcoin’s fourth halving back in April.
Bitcoin miners made just $727.79 million in September 2023 alone, considering how badly the world’s leading cryptocurrency had taken a hit and was trading at around $25,000. Since then, however, it’s more than doubled, and at the time of writing, it changes hands at $59,092.
Impact on Mining Pools and Market After Bitcoin Halving
According to data from Block, on-chain fees also slid in August, losing $4.14 million compared to July. The biggest mining pool was Foundry USA, which mined 1,248 blocks, accounting for 29.10% of the total. Antpool was the closest competitor at 25.04%, having mined 1,074 blocks. Revenues fell in proportion to the volume of transactions. In all, miners minted 13,843 BTC in August, a slight decrease from the 14,725 BTC mined in July.
Immediately after the last Bitcoin halving in April, stocks of major mining companies plunged to an all-time low. Stocks from the likes of Marathon Digital Holdings, Riot Blockchain, and CleanSpark plummeted for several days straight.
The April Bitcoin halving triggered increased mining difficulty and a corresponding collapse in transaction volume that resulted in plummeting profits.
August revenues brought miners to the edge, as economic pressure mounted with ever-lower hash prices. But the good news for Bitcoin miners is that a profit windfall might be seen if the hash price goes up and is accompanied by higher activity.
Conclusion
Bitcoin miners are currently at a crossroads. The fact is that profits are largely shrinking as mining difficulties go up, and what happens next is anyone’s guess. If hash prices turn around, then so do opportunities.
We can but wait and see for now.
