According to Bloomberg’s reportBitcoin miners are generating more computing power than ever before, thanks to their powerful hardware.
According to data provided by btc.com, mining difficulty reached an all-time high yesterday. The mining difficulty level, which is renewed with the biweekly update, has seen an increase of 3.4% compared to the previous measurement. In the previous period, there was an increase of 3.22% again. During the year, there was only two declines.
Although the value of Bitcoin is far from the bull season in 2021, the recovery trend of the asset with the start of 2023 paved the way for the increase in mining activities. The decrease in electricity costs was also among the factors contributing to the increase in computing power.
As a result of this situation, the shares of mining companies such as Marathon Digital Holdings and Riot Platforms have more than doubled.
Wolfie Zhao, head of research at TheMinerMag, said:
“Bitcoin miners are enjoying cheap electricity before summer hits. Newer and more efficient machines generate more computing power with the same amount of energy”
Gross profit of mining companies increased
According to TheMinerMag’s data, the profit rate of large mining companies has also increased in the first quarter of 2023.
Miners are also trying to increase the efficiency of their mining operations by purchasing new machines and installing more efficient cooling systems for the machines before next year’s Bitcoin halving.