Bitcoin miners start the year amid uncertainty generated by the prolonged market winter.
NotiHash is the Bitcoin mining newsletter of CryptoNews. It is published on our website every week. Today’s Thursday, January 5, 2023 is issue number 42, published at block height 770,510.
Earning profitability will be the biggest challenge for Bitcoin miners during 2023. At least for the duration of the bear market, which is already nearing its one-year anniversary.
The prolonged market winter has left numerous casualties, and changed the Bitcoin mining landscape considerably.
The balance of this first week of 2023 involves board changes of major companies, surprising court actions and movements related to the mining of other cryptocurrencies.
Difficulty adjustment and hashrate growth
Average hashrate: 254 EH/s (week)
Maximum reached hashrate: 275 EH/s (week)
Difficulty level: 35.36 billion (trillions)
A few days after the most recent Bitcoin difficulty adjustment, we can observe that once again the hashrate oscillates with intensity, this time with an increase that approached its historical records. During the last few weeks, the computational capacity of the network has experienced peaks of more than 50 EH/S difference between its minimum and maximum levels.
The network difficulty level fell back 3.89%, along with a decrease in the network hashrate over that time period. If the network hashrate remains at the current level, the next difficulty setting is estimated to increase 10%.
The rewards of Bitcoin mining
Range of miners’ daily profit: between USD 14.5 million and USD 18.4 million (week)
Total rewards for Bitcoin miners: 914.16 BTC or USD 15.4 million (average of 144 blocks between Dec. 29 and Jan. 5)
Average rewards per transaction: 0.0034701 or USD 58.32 (average of 144 blocks between Dec 29 and Jan 5)
Reward paid per transaction: 0.00000538 BTC or USD 0.90 (average of 144 blocks between Dec. 29 and Jan. 5)
Source: Mempool.space and Braiins
Total rewards received by Bitcoin miners increased at the beginning of 2023, compared to the last week of last year. When expressed in US dollars, that change equates to USD 2 million per day. The price of bitcoin (BTC) is at the figure of USD 16.8 thousand, therefore, the gains are reflected if estimated in dollars (USD).
From the Bitcoin users’ point of view, commissions have been kept at a rate of 500 satoshis. This represents payments below $1 (USD) on average. The low commissions in terms of BTC have not affected miners’ rewards, precisely because of the rising price of the currency. On average, each block includes a commission profit of 0.110 BTC.
The hasprice and hashvalue of Bitcoin
Hashprice: 0.063 USD/TH/day
Hashvalue: 375 sat/TH/day
The hashprice remains above 0.060 USD/TH/day, a trend that has persisted since October 2021. The rebound in bitcoin price since the beginning of January affects this value positively.
The hashprice is a measure of profitability used by bitcoin miners. It is understood as a value assigned to a unit of computation. It is expressed as the profit in dollars (USD) for each terahash that specialized mining equipment contributes to the network in the period of one day.
For its part, the hashvalue is a value obtained when the same calculation is made on the basis of bitcoin (BTC) earnings. This parameter is also used to calculate profitability, especially in the long term.
In this regard, current hashprice and hashvalue values express that Bitcoin miners’ earnings remain well below expectations.