The recent crypto rout has hit bitcoin miners hard as prices of Bitcoin and other cryptocurrencies plunged.
Miners have cut back on producing more Bitcoin as falling prices reduced the money they made for successfully mining the cryptocurrency. Mining involves using powerful computers to solve complicated puzzles that provide miners with new Bitcoin.
The total revenue miners made dropped by almost $5 million this month, from about $27 million to almost about $22.5 million, according to data by Blockchain.com.
The bitcoin hash rate, which measures how much power is used in creating new tokens, has fallen about 4 per cent since the start of the week.
Bitcoin has plummeted recently, falling over 20 per cent this week from a Monday open of $26,606 to currently trade at $20,959.60. It is down more than 50 per cent since the start of the year from over $47,000, due to a crypto winter that industry experts warn will drag prices down even lower and be “Armageddon.”
Bitcoin is currently trading at $21,084, a drastic fall from its all-time high of near $69000 in November 2021.