Bitcoin’s Profit Crunch: Hash Price Hits Record Low Post-Halving—What’s Next For Miners?

In
Bitcoin
mining,
the
activity’s
profitability
is
significantly
influenced
by
a
metric
known
as
the
‘hash
price.’
This
metric
has
recently

plummeted
to
unprecedented
levels,
causing
concerns
within
the
mining
community.

Bitcoin’s
Latest
Halving
Sends
Hash
Price
Into
Freefall

As
Bitcoin
underwent
its
fourth
halving
event
on
April
20,
expectations
were
high
regarding
a
potential
increase
in
miner
revenue.
However,
contrary
to
these
expectations,
the
hash
price
witnessed
a
steep
decline,
currently
valued
at
less
than
$50
per
PH/s
per
day.

The
concept
of
hash
price,
developed
by
Luxor,
a
Bitcoin
mining
services
company,
helps
understand
the
daily
dollar
earnings
a
miner
can
expect
per
unit
of
hashing
power.

Despite
Bitcoin’s
hash
rate
remaining
strong,
the
halving
event,
which
reduced
the
mining
reward
from
6.25
BTC
to
3.125
BTC
per
block,
has
exerted
downward
pressure
on
the
critical

profitability
metric.

This
reduction
in
potential
earnings
comes
when
the
overall
cryptocurrency
market,
including
Bitcoin,
is
experiencing
volatility.

This
downturn
in
hash
price
is
not
isolated
but
coincides
with
other

declining
metrics
in
BTC.
According
to
TradingView,
Bitcoin’s
dominance
index
has
also
reduced,
highlighting
a
decrease
in
capitalization
relative
to
the
total
crypto
market.

Bitcoin’s
dominance
has
declined
from
57.10%
mid-month
to
approximately
54.69%
today.
Concurrently,
Bitcoin’s
market
value
has
also
trended
downward;
over
the
past
week,
the
cryptocurrency
experienced
a
decrease
of
about
4.4%.

This
downward
trend
persisted
into
the
past
day,
with
Bitcoin’s
price
dropping
an
additional
0.8%.

Signs
Of
A
Bullish
Future
Amid
Bitcoin
Current
Slump

Despite
the
downward
turns,
analysts
like
those
from
CryptoQuant
suggest
that
bullish
signals
might
still
be on
the
horizon.
They
point
to
the
Adjusted
Spent
Output
Profit
Ratio
(aSOPR),
which,
despite
current
market
indecisiveness,
continues
to
exhibit
bullish
trends.

Moreover,
expert
analysts
like
Rekt
Capital
have
weighed
in
with
a
long-term
perspective,
suggesting
that
Bitcoin
could

see
a
significant
rally
as
part
of
this
halving
cycle,
drawing
parallels
with
previous
cycles.

Historical
data
shows
that
Bitcoin
typically
reaches
a

market
peak
within
500-550
days
post-halving.
If
these
patterns
hold,
Bitcoin
could
be
poised
for
substantial
gains
by
mid
to
late
2025,
reinforcing
the
cyclical
nature
of
this
leading
digital
asset’s
market
movements.

Overall,
while
the
immediate
effects
of
the
halving
on
hash
price
and
market
dynamics
paint
a
sad
picture,
the
underlying
data
indicates
a
mix
of
caution
and
optimism.

Featured
image
from
Unsplash,
Chart
from
TradingView

Disclaimer:
The
article
is
provided
for
educational
purposes
only.
It
does
not
represent
the
opinions
of
NewsBTC
on
whether
to
buy,
sell
or
hold
any
investments
and
naturally
investing
carries
risks.
You
are
advised
to
conduct
your
own
research
before
making
any
investment
decisions.
Use
information
provided
on
this
website
entirely
at
your
own
risk.