The daily income of Bitcoin miners reached $75.9 million on March 6, immediately after a peak in the price of Bitcoin.
A Memorable Day for Bitcoin Mining
Yesterday marked a historic day for Bitcoin miners, with revenues reaching their second-highest level ever recorded, just after the price of Bitcoin reached a new all-time high surpassing $69,200.
Impact of a Mining Site Closure
On the same day of this remarkable performance, Bitcoin mining company Hut 8 announced the immediate closure of its mining site in Drumheller, Alberta, Canada, due to energy disruptions and increased energy costs. This site mined an average of 48 Bitcoins per year, representing about 1.4% of the company’s holdings and 11% of its hashing capacity.
Context and Market Consequences
This $75.9 million day comes second to the record of $77.3 million set on April 14, 2021, during a period when Bitcoin was trading above $60,000. Meanwhile, some of the largest Bitcoin mining stocks dropped more than 27% in the three days leading up to March 1 of this year, as Bitcoin hit $64,000.
Anticipation of the Halving
Mitchell Askew, Chief Analyst at Blockware Solutions, suggests that the “most logical” explanation for this market dynamic is the reluctance of investors to commit capital to Bitcoin mining ahead of the long-awaited halving.
This event will see Bitcoin miners’ rewards reduced from 6.25 BTC, worth $417,279, to 3.125 BTC, worth $208,638 at the time of writing.
