Monday Mining Metrics: Pre vs Post Halving Mining Profitability

Bitcoin Mining Update - 4/1/2024

Hashrate

The total hashrate of the Bitcoin network (14-day moving average) is at ~600 EH/s. There’s one more difficulty adjustment remaining between now and the 2024 halving. With hashprice currently at ~10.9¢ per kWh, miner revenue after the halving will be at roughly the same levels it was during the 2022 bear market bottom.

Mempool/Transaction Fees

The mempool hasn't cleared in the past month and halving is now less than 3 weeks away, at which point fees will rise.

Immediately after halving: Inscription crowd bidding for block space + likely slower block times as unprofitable miners unplug (negative difficulty adjustments).

Months after halving: Next phase of Bitcoin bull market → Increased Demand for BTC and on-chain settlement.

Transaction fee revenue was a bountiful addition to the bottom line of Bitcoin miners in 2023. This will likely be the case during the latter half of 2024 and should be factored in when considering the profitability of Bitcoin mining.

Pre vs Post Halving Profitability

Here’s a breakdown of the cost to mine 1 BTC based on machine type and electricity rate. The top chart shows pre-halving while the bottom chart shows post-halving. Right now, the breakeven threshold is an S19j Pro+ (or equivalent machine) at $0.08 per kWh.

In the meantime, nearly every ASIC on the market is highly profitable; a testament to the potency of Bitcoin bull markets as it pertains to mining profitability. When the price of BTC rips, it rips hard and fast. Later this year, mining profit margins could reach these pre-halving levels in spite of the decreased block subsidy. Time and inflows will tell.

Whatsminer M66s Breakdown

Blockware is thrilled to provide our clients with the opportunity to mine in a world-class immersion data center.

These machines clock in at 288 TH/s (with up to 15% additional hashpower when operating in ‘high-performance mode’) and 19.5 W/Th.

The high hash power and energy efficiency mean you’ll be maximizing revenue while still having downside protection in the event of stagnant or declining BTC price action.

Immersion has a few key advantages to air-cooled mining:

• Increased machine uptime

• Heat resistance

• Prolonged machine lifespan

• High hashrate & efficiency

Check out these images of the facility where your machines will be hosted.

Blockware Direct ASIC Pricing with Hosting

For those seeking to purchase ASICs in bulk (with or without hosting), contact sales@blockwaresolutions.com or reach out here.

We can help you secure all of the top ASICs currently on the market; Antminer S21s, S19 XPs, S19k Pros, and Whatsminer M50s.

All machines are new and payment includes tariffs, duties, and shipping.

Contact sales@blockwaresolutions.com or reach out here.

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All content is for informational purposes only. This Blockware Intelligence Newsletter is of general nature and does consider or address any individual circumstances and is not investment advice, nor should it be construed in any way as tax, accounting, legal, business, financial or regulatory advice. You should seek independent legal and financial advice, including advice as to tax consequences, before making any investment decision.