JPMorgan: Bitcoin Miners See Fourth Consecutive Month of Falling Profitability in November

Bitcoin Mining Profitability Declines for Fourth Straight Month in November: JPMorgan

Bitcoin mining profitability fell for the fourth consecutive month in November, according to a Monday report from JPMorgan (JPM).

Daily block reward gross profits dropped 26% month-over-month, analysts Reginald Smith and Charles Pearce noted. Meanwhile, the Bitcoin network hashrate declined 1% to an average of 1,074 exahashes per second (EH/s), following a record high in October.

“Bitcoin miners earned an average of $41,400 per EH/s in daily block reward revenue in November, down 14% from October and 20% year-over-year,” the analysts wrote.

The hashrate reflects the total computational power used to mine and process transactions on the proof-of-work blockchain and serves as a proxy for network competition and mining difficulty.

The combined market capitalization of the fourteen U.S.-based miners tracked by JPMorgan fell 16% month-over-month to $59 billion. Cipher Mining (CIFR) led the group with a 9% gain, supported by its recent Fluidstack deal, while Bitdeer (BTDR) lagged with a 40% decline.