Bitcoin Mining Revenue Drops by Nearly 50%, Hashpower Falls 21%

The Bitcoin mining landscape is undergoing significant changes due to declining revenue and increasing costs. Hashprice, a key indicator of revenue for miners, has dropped by nearly 50% since July last year, from $63 to $31.80. This decline has forced high-cost producers to shut down their machines in a process known as 'capitulation.'

The network's total computing power has also decreased by 21%, from 1.14 EH/s to 900 EH/s, which is one of the longest capitulation cycles on record. Market performance supports this trend, with AI/HPC-focused companies like WULF and IREN seeing their stocks more than double in value over the past year.

However, there is a possibility that Bitcoin's price could rise to $126,000, which would increase hashprice to approximately $59. This could potentially restore the economics for companies focused exclusively on mining.