The old devices mining Bitcoin (BTC) companies are struggling to generate positive revenue during the current cryptocurrency market downturn.
75% drop in bitcoin mining profitability
Profitability of many ASIC machines (Application Specific Integrated Circuit) fell into the negative zone after bitcoin plunged under $ 24,000 on June 13, according to data obtained by F2Pool. These machines include the Antminer S11 and the AvalonMiner 921, which are now close to their “stop price”.
For your information, we publish the latest list of Shutdown Price that crypto mining machines have to close in this chart due to lack of profitability. pic.twitter.com/qxGtLjJI9l
—Bitdeer (@BitdeerOfficial) June 13, 2022
For your information, we publish the latest stop price list that the cryptocurrency mining machines in this chart have to stop due to lack of profitability. pic.twitter.com/qxGtLjJI9l- Bitdeer (@BitdeerOfficial) June 13, 2022
In fact, Bitmain’s Antminer S11 offers a maximum hash rate of 20.5 Terahash per second (TH / s) for a power consumption of 1,530 watts.
The current cost of Antiminer S11 is 0.13 kilowatts per hour (KW / h) based on the global average cost of electricity. So, it consumes about $ 4.5 of electricity per day, compared to an income of about $ 2 for the same period, according to data collected by ASIC Miner Value.
Likewise, the current cost of AvalonMiner 921 Canaan is around $ 5 per day, and its revenue is over $ 2 over the same period.
Overall, bitcoin miner revenue fell from $ 0.412 per TH / s / day in October 2021 to $ 0.11 per TH / s / day in June 2022, according to the Bitcoin Hashprice Index, a 75% drop in eight months.
These losses coincided with a sharp drop in the hashrate ó mining bitcoins over the past seven days, from a total high of 239.15 exahashes per second (EH / s) on June 6 to 189.72 EH / s on June 13, according to data from CoinWarz.
This suggests that miners are limiting their ability to produce BTC by theoretically shutting down mining machines. mining unprofitable and could continue to do so in the coming weeks if bitcoin fails to recover over $ 25,000 and / or difficulty mining adjusts.
Shares of companies mining of bitcoins that are in the hard
On June 13, the price of bitcoin hit its lowest levels since December 2020, following a sharp crash in the crypto market.
The price of BTC fell as low as $ 23,707 (Coinbase data), from a peak of $ 69,000 in November 2021. The losses were caused by concerns about rising US interest rates.
Companies of mining of bitcoins, which is still at the forefront mince and the supply of new BTC, which suffered most from the fall in prices. For example, Canaan’s stock has fallen over 90% after a peak of $ 39.10 per share in March 2021.
Similarly, VanEck Digital Asset Mining (DAM) ETF, which opened in early March 2022, had lost 63% of its value as of June 10, from a record high of $ 46.05. It appeared to open lower on June 13, according to Nasdaq data.
Machinery mining next generation BTC still profitable
On a more positive note, some machines mining mainstream is still generating profits for miners, suggesting that their owners will be able to weather the downturn in the bitcoin market.
Read also: Crypto Winter Survival Guide: Community Shares Their Bear Market Battle Plan
These include the new iPollo’s V1, which brings in a daily income of about $ 62 from a power consumption of $ 9 over the same period, and Antminer S-series machines, which generate daily earnings from $ 4.75 to $ 18 despite bitcoin prices below $ 25,000.
For your information, we publish the latest list of Shutdown Price that crypto mining machines have to close in this chart due to lack of profitability. pic.twitter.com/qxGtLjJI9l
—Bitdeer (@BitdeerOfficial) June 13, 2022
For your information, we publish the latest stop price list of the machines at mining Cryptocurrencies on this graph have to be stopped due to lack of profitability. pic.twitter.com/qxGtLjJI9l- Bitdeer (@BitdeerOfficial) June 13, 2022
However, there are some lucrative machines close to their break-even point, most notably Antminer’s S17 + (73T). It could be unprofitable when the price of BTC drops to $ 22,000, according to data provided by Bitdeer.
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