Monday Mining Metrics: BTC to $66,000
Bitcoin Mining Update - 3/4/2024
Bitcoin hits $66,000
BTC has been on an absolute tear, breaking its April 2021 high, and looking to make a new all-time high shortly (perhaps this week?👀).
Wall Street perpetually bidding into a market that is illiquid on the supply side will continue pushing the price higher until holders are incentivized to take some coins off the table.
Moreover, in ~six weeks, BTC supply becomes even more illiquid as the amount of BTC mined daily drops from 900 to 450.
Hashprice to 11 cents
Bitcoin miners are raking in profits at the highest clip in months, with miners earning ~11 cents per terahash per day. Furthermore, we are projected to have a second consecutive negative difficulty adjustment, further bolstering miner profit margins in the short term.
The final stretch of the 2020-2024 halving epoch is upon us, and the miners who endured the trials of the bear market are being rewarded.
With the halving right around the corner, right now it is imperative to upgrade to the latest generation of ASICs.
On-Chain Transaction Fees
The clearing of the mempool appears to have temporarily subsided; with fees seemingly finding a floor at ~10 sat/vByte.
Transaction fees are a direct quantification of demand for the use of the Bitcoin network. As demand for BTC the asset increases over the next few months, so will the demand for Bitcoin the network.
Fees are volatile and cyclical, they can increase by orders of magnitude in short order. Throughout the majority of the bear market, fees were low and there was minimal incentive to develop scaling solutions. As such, L2s are not in a position to service the tsunami of demand that is penetrating the market. Fees on the base chain will be high during this cycle. This is the dark horse of miner profitability.
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We can help you secure all of the top ASICs currently on the market; Antminer S21s, S19 XPs, S19k Pros, and Whatsminer M50s.
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