Bitcoin Mining Market Recovers after Mass Exit from China

The bitcoin network increase in hash-rate is a combination of previously obsolete hardware finding a second lease on life and miners in China successfully relocating their hardware and operations to receptive countries.

A report by Glassdoor, daily monitors of bitcoin network acknowledged the development in its latest report.

Glassdoor’s daily report found that the 14-day hashrate rose to 128 exahash per second (EH/s) which is approximately 29 percent below the all-time high of 171.2 EH/s recorded in January 2021.

“Competition in the mining market has continuously increased over time, leading the protocol difficulty to consistently rise. This growth has occurred despite the programmatic decline in new BTC issuance with each halving event”

In May, Chinese government kicked against cryptocurrency mining, which was home to over 70 percent of global bitcoin mining power. This development left the price of bitcoin into tailspin and miners left to start afresh.

Responding to the restriction, many miners quickly moved to find new homes in countries such as Kazakhstan, Russia, or North America more receptive to their activities. Texas reportedly received more miners than most US states.

At the moment, miner USD revenue per hash has risen back to July 2019 levels of $380,000 per exahash, making operational miners exceptionally profitable on a historical basis