Bitcoin Hashprice Falls to Five-Year Low as Miner Revenues Tighten

What to Know

• Bitcoin hashprice has dropped to $38.2 PH/s, the lowest in over five years.
• Network difficulty and hashrate are near all-time highs, squeezing miner profitability.
• Bitcoin’s price has declined roughly 30% from its October peak above $126,000.
• Transaction fees remain low, limiting additional income for miners.
• Publicly traded mining stocks are under pressure, though some declines reflect shifts toward AI infrastructure rather than mining revenue alone.

Bitcoin miners are feeling increased pressure as hashprice drops to its lowest level in over five years, even as many firms pivot toward AI infrastructure initiatives.

Market Overview

Bitcoin’s hashprice has declined to $38.2 per PH/s, marking a five-year low. The drop comes as mining difficulty and network hashrate hover near record highs, while Bitcoin’s price retreated to around $91,000 from its October peak above $126,000.

Hashprice measures the expected daily revenue per terahash of mining power, providing a snapshot of miners’ profitability. This metric depends on network difficulty, block subsidy, transaction fees, and Bitcoin price. As difficulty rises and Bitcoin price falls, hashprice naturally declines, squeezing miner revenue.

Despite falling hashprice, the hashrate remains robust, exceeding 1.1 ZH/s on a seven-day moving average, reflecting continued network participation.

Impact on Mining Stocks

Publicly traded Bitcoin mining firms have seen sharp pullbacks in stock prices. Analysts note that while the sector faces pressure from falling hashprice, many declines also stem from reduced investor enthusiasm for AI-related infrastructure initiatives that some mining companies have adopted.

Transaction fees remain historically low, with high-priority transactions costing as little as 25 cents (2 sat/vB), limiting additional miner income from fees.

Technical Background

Hashprice represents the daily expected revenue from one terahash per second of mining power. Its decline signals tighter margins for miners, particularly smaller or less efficient operations. As mining difficulty continues to trend upward, only those with highly efficient rigs or diversified revenue streams may sustain profitability.

Bitcoin Hashprice Outlook and Forecasts

Bitcoin’s hashprice is expected to remain under pressure in the coming weeks as difficulty trends higher and Bitcoin’s price shows limited momentum after the recent pullback. Analysts note that without a significant rise in transaction fees or a strong rebound in BTC price, miner revenue will likely stay near current lows.

Short-term projections suggest that hashprice could retest the $35–$37 PH/s range if difficulty continues climbing and Bitcoin fails to break above $95,000. A recovery toward $45–$50 PH/s would require a combination of higher price levels and an uptick in fee market activity.

Mining difficulty is projected to remain close to record highs due to sustained competition and new-generation ASICs entering the market. Unless a wave of older machines is decommissioned, difficulty is likely to stay elevated through Q1 2026.

From a profitability standpoint, smaller or mid-scale miners running older hardware may face tighter cash flow conditions over the next two to three difficulty adjustments. Meanwhile, miners with diversified revenue sources—including AI compute, data center hosting, or energy arbitrage—are better positioned to weather the extended low-hashprice environment.

Overall, the sector remains in a challenging phase. A meaningful shift in hashprice will depend primarily on Bitcoin’s market recovery and fee resurgence, neither of which have yet shown strong confirmation.

Frequently Asked Questions (Q&A)

When did Bitcoin’s hashprice hit its five-year low?

The hashprice fell to $38.2 PH/s in mid-November, according to Luxor, marking the lowest level since 2018–2019.

What factors drive hashprice?

Hashprice depends on Bitcoin’s price, network difficulty, block subsidies, and transaction fees. Higher difficulty or lower Bitcoin price reduces miner revenue.

How is the hashrate trending?

The network hashrate remains near record levels, above 1.1 ZH/s, showing sustained miner participation despite lower revenue.

Are mining stocks affected?

Yes, publicly traded mining firms have pulled back. Some of the decline is due to falling hashprice, while other declines reflect a shift toward AI infrastructure investments.

Does this impact small miners more?

Smaller or less efficient miners may face tighter margins and profitability challenges, while larger or diversified operations may withstand current conditions.

 

Read more: What is Miner Extractable Value (MEV) and How Does It Impact Blockchain Networks?