Bitcoin revenue per terahash nears record highs as hashrate soars

As Bitcoin network hash rate exceeds 414 EH/s, miners struggle to stay afloat amid profitability in free fall.

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Bitcoin mining revenue or “hash price” – a measure of dollars earned per TH/s per day – has fallen to levels not seen since the collapse of FTX in November 2022, while the rate of hash has reached new heights.

Over the past week, the Bitcoin network hash rate surpassed 414 exahashes per second (EH/s) on August 18, marking a new high for this metric.

The spike saw the network's hash rate increase 54% from what it was at the start of 2023 and 80% over the past 12 months, according to Blockchain.com.

BTC hash rate and price 1 year. Source: Blockchain.com

However, even though the network appears to be good in terms of security, things are not so rosy for Bitcoin miners as revenue has fallen sharply, reaching levels when BTC fell in a market. cycle low around $16,500 in Nov 2022.

According to HashPriceIndex, revenue is just $0.060 per terahash per second per day, about half of what it was in early May when the Bitcoin Ordinals listing frenzy caused high demand of block space.

Market analyst Dylan LeClair commented on the decline in revenue and the spike in hash rate saying that new, more efficient rigs will continue to be produced, "but it's almost time for prices to top out" , which means prices need to adjust higher for mining to remain profitable. at such high hash rates.

Miner income per terahash. Source: Glassnode