Bitcoin miners are grappling with declining revenues for the third consecutive month in September, coinciding with a rise in network difficulty that has created challenging conditions for mining. According to a report from JPMorgan, the Bitcoin network’s hash rate surged to 643 exahashes per second (EH/s) in September, marking a 2% increase from August. Despite Bitcoin's market capitalization increasing by approximately 7% in September, the earnings per EH/s for miners fell by 6% month-over-month, averaging $42,100.
The total market capitalization of 14 U.S.-listed bitcoin miners tracked by JPMorgan rose 4% to $21 billion in September. Here’s how some of the largest miners performed:
While several miners increased production, companies like Cipher Mining took a different route, selling 923 BTC in September while mining just 155 BTC. Hut 8 (HUT) produced 85 BTC, raising total holdings to 9,106 BTC, and expanded partnerships with Bitmain Technologies.
Despite declining revenues, Hut 8's stock rose 21% in September. Analysts noted that AI-focused Bitcoin miner stocks are outperforming their peers, reflecting a shift from crypto-specific operations to AI and high-performance computing models.
As Bitcoin miners navigate these challenging conditions, their production strategies and market dynamics will play a crucial role in shaping the future of the industry.
