Bitcoin’s $7K Drop Sends Miner Revenues to April Lows
Bitcoin's price dropped over 5% against the U.S. dollar on Tuesday, wiping out $7,000 in value and affecting miners significantly as hashprice fell to $40.85 per PH/s, a 36.09% decline since July. The mining industry faces shrinking margins due to the combination of lower hashprice and high hashrate, pushing smaller miners towards potential shutdowns while profitability challenges loom. The future depends on bitcoin price recovery, difficulty adjustments, cheaper energy, or efficient hardware to stabilize the industry.
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Bitcoin Price Drops Over 5%
On Tuesday, bitcoin’s spot price slipped more than 5% against the U.S. dollar, wiping out more than $7,000 in value since the day’s first trade. This significant drop directly impacted miners, as their revenues plunged to levels unseen since April 8, 2025, leaving many mining rigs operating at minimal profitability just to remain viable.
Wild Price Fluctuations and Hashprice Decline
As of 2:30 p.m. Eastern time, bitcoin experienced wild swings between $100,175 and $107,302 per coin, ultimately losing 5% against the U.S. dollar. On specific exchanges, like Bitstamp, the price even dipped below the $100K mark.
Simultaneously, data from hashrateindex.com reveals that bitcoin’s hashprice — the market rate for one petahash per second (PH/s) of SHA256 hashrate — is now at $40.85, representing a steep decline from $49.61 per PH/s just eight days ago. This 17.66% decrease is undoubtedly taking a toll on miners’ profitability.
A Long-Term Downtrend Since July
This week’s slump is part of a longer trend dating back to July 11, 116 days ago, when hashprice was at a healthier $63.92 per PH/s. Fast forward to Nov. 4, 2025, and miners are now earning 36.09% less for the same hashpower. Despite the falling hashprice, bitcoin’s network continues to demonstrate strength, producing over 1 zettahash (more than 1,000 exahash per second (EH/s)). Currently, the network is secured by around 1,111.99 EH/s, maintaining stable block intervals near the 10-minute target.
Mining Profitability Challenges Loom
If bitcoin prices continue to dip while mining difficulty remains high, miners may face a profitability crunch. This situation could be particularly damaging for operations relying on older hardware or those with high energy costs. The combination of lower hashprice and persistent hashrate may compel smaller mining businesses to shut down, consolidating mining power among industrial-scale operations.
Potential Paths to Recovery
On the brighter side, several factors could turn the situation around for miners. A bitcoin price rebound, a difficulty adjustment that eases mining requirements, or a reduction in energy costs might relieve the strain. Additionally, advancements in more efficient mining hardware or renewed optimism in the crypto market could give miners much-needed breathing room. But for now, the industry remains in a state of uncertainty, waiting to see how these dynamics will unfold.