Based

Bitcoin

April

Daily

As the Bitcoin (BTC) price surged all the way to its new <a href="https://coingape.com/bitcoin-btc-price-breaches-above-71k-eth-new-high/" target="_blank" rel="noopener noreferrer nofollow">all-time highs</a>, Bitcoin miners have minted record earnings during the same time. As per the on-chain data, the daily revenue of Bitcoin miners has touched a new record high since April 2021.
<h3 id="bitcoin-miner-daily-revenue-skyrockets">Bitcoin Miner Daily Revenue Skyrockets</h3>
According to data from CryptoQuant, daily miner revenue surged to $78.6 million on March 7, surpassing the peak reached during the last crypto bull market in April 2021. Bitcoin miners earn revenue from newly minted coins awarded for validating transactions on the blockchain and from fees paid by users.
This increase in miner revenue coincides with Bitcoin’s 70% rally so far this year. The cryptocurrency reached a record high of nearly $72,881 on Monday and was trading at $72,668 as of 11:31 a.m. in Singapore on Tuesday.
Just as the revenue surges for Bitcoin, so does the energy consumption. As per the latest report, <a href="https://coingape.com/bitcoin-miners-pace-up-energy-consumption-by-over-61-ahead-of-halving/" target="_blank" rel="noopener noreferrer nofollow">Bitcoin miner</a>s have hit record levels of energy consumption in the past month. This surge in mining activity has coincided with a supply shock, contributing to the sustained and soaring prices of BTC.
Based on an estimate by Coin Metrics, miners consumed a record 19.6 gigawatts of power last month, a significant increase from 12.1 gigawatts recorded during the same period in 2023. This marks a surge of more than 61%.
The U.S. Treasury Department is proposing an excise tax targeting companies engaged in mining digital assets, which would amount to 30% of the electricity costs utilized for mining activities. Should the proposal be enacted, miners would be obligated to disclose details regarding the quantity and source of electricity consumed, as well as associated expenses for externally procured power.
<h3 id="treasury-amount-at-ath-despite-miner-selling">Treasury Amount at ATH Despite Miner Selling</h3>
In a significant development, the Bitcoin miner treasuries have collectively decreased by 14,128 BTC, equivalent to $1 billion, since the beginning of the year. Recent data suggests that the majority of days in the past month witnessed net outflows from BTC miners. Despite this trend, miners continue to hold a substantial amount of Bitcoin, amounting to 1.82 million BTC, valued at $131 billion – marking the highest recorded value in US dollars.
Interestingly, Bitcoin miners’ actions contrast with those of ETFs, as they seem to be divesting their Bitcoin holdings while institutional investors acquire coins on behalf of ETF shareholders.
The imminent Bitcoin halving scheduled for April, set to halve miner rewards and reduce the coin’s supply growth, has spurred bets on price appreciation.
This development marks a notable shift for miners from the challenging conditions of the crypto winter, where some faced bankruptcy. Notably, the Valkyrie Bitcoin Miners ETF, encompassing firms like CleanSpark Inc. and Marathon Digital Holdings Inc., has surged by over 100% in the past year.
The post <a href="https://coingape.com/bitcoin-miner-daily-revenue-hits-record-high-ahead-of-halving/" rel="noopener noreferrer nofollow">Bitcoin Miner Daily Revenue Hits Record High Ahead of Halving</a> appeared first on <a href="https://coingape.com" rel="noopener noreferrer nofollow">CoinGape</a>.

Bitcoin Miner Daily Revenue Hits Record High Ahead of Halving

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