Bitcoin Mining Power Experiences Sharpest Decline Since 2024 Halving as Chinese Machines Go Offline

Bitcoin’s network hashrate has seen its steepest drop since the April 2024 halving, as roughly 400,000 mining machines in China reportedly went offline, according to former Canaan chairman Jack Kong.

Matthew Sigel, head of digital assets research at VanEck, noted that the 30-day simple moving average (SMA) hashrate for bitcoin (BTC $87,182.84) reflects the decline. The hashrate measures the total computational power securing the bitcoin network.

Kong posted on X that computing power fell by around 100 exahashes per second (EH/s) compared with the previous day—an 8% decline. Based on an average of 250 terahashes per second per machine, this translates to over 400,000 rigs going offline. He added that mining farms in Xinjiang were shutting down consecutively, indirectly benefiting U.S.-based miners.

This comes just one month after China re-emerged as the world’s third-largest bitcoin mining hub, accounting for roughly 14% of global hashrate.

Glassnode data shows total hashrate declining from about 1.1 zettahashes per second (ZH/s) to just above 1 ZH/s. The drop coincides with continued pressure on miner revenues, with hash price near $37 per petahash per second—a roughly five-year low.

Bitcoin mining difficulty is projected to fall by roughly 3%, providing short-term relief to miners. The difficulty currently stands at 148.2 trillion (T), just below its all-time high.

About The Author

ctleditor

See author's posts