Bitcoin Miners Observe the Worst Month in Close to a Year

Bitcoin miners made the lowest revenues in August since September 2023 as the network’s mining difficulty peaked at the highest it has ever been on August 31.

August marked the worst month in revenues for Bitcoin miners this year and since September 2023. They mined a total of $827.56 million last month following a trend of reducing mining rewards since April’s halving event that reduced block rewards to 3.125 BTC. August’s revenues saw a 10.5% reduction from July when miners netted $927.35 million. However, the rewards were up 5% from August 2023 due to the slump the crypto market and BTC found themselves in.

Nevertheless, to keep with BTC’s better price action this year, the August revenues declined by 53% compared to the network offered to miners in March 2024, when it netted them $1.3 billion. It was also when BTC’s price reached its new all-time high (ATH) this year, peaking at over $73,500.

August’s revenues indicate dwindling revenues, with miners experiencing a worse month only in 2023 when they earned $727.79 million in September. However, BTC’s price fluctuated at the $25,000 mark that month. Its current price is over twice that, exchanging hands at about $59,000 at the end of August, meaning the number of assets the network offered is less than half of that of September. Miners collected 14,725 BTC this month.

Beyond the halving cutting block rewards, the Bitcoin network also observed reduced transactions in August. Mining difficulty on the network has also risen tremendously to reach an all-time high of 89.47 trillion, climbing from July’s 86.87 trillion.

Miners Are Trying Their Hands at Different Tactics to Increase Revenues

Bitcoin miners are obviously looking for other avenues to maximize revenues in these trying times. One measure includes merging with or acquiring rival mining firms to mine more BTC. Many are also leasing data centers and signing deals with local governments to increase their power capacities to amplify their chances of mining BTC. Beyond that, Bitcoin miners are offering computing power to High-Performance Computing (HPC) and AI firms to diversify their revenue streams.