Huge increase in Bitcoin mining revenues
Key on-chain metrics such as Bitcoin mining revenues have returned to pre-halving levels, according to a recent study.
Data from analytics provider Glassnode shows that revenues from Bitcoin mining have returned to levels when the block rewards were twice what they are now.
Bitcoin was trading at around $ 9,000 when the halving occurred in mid-May. The fact that the cryptocurrency was traded at $ 18,000, twice that price on November 18, reveals a correlation as miners must sell enough to cover their expenses while maintaining their profits. Higher prices mean more profit.
Blockchain.com, which tracks the total value of block rewards and transaction fees paid to miners, also confirms these findings.
Daily revenue, which includes block rewards and transaction fees, was measured at $ 21.2 million on November 18, the highest level this year. The previous peak was seen on May 6 with $ 20.6 million. Following the halving, which lowered block rewards from 12.5 Bitcoins to 6.25 Bitcoins, miner revenues declined to $ 7 million daily.
Another factor indicating that the network is healthy and the miners are happy is the hash rate, the Hahs rate, which is currently only 10 percent below the record level.
The bitcoin hash rate dropped 37 percent to below 98 E / Hs after the end of the rainy season and the migration of miners in China's Sichuan region, where the majority of mining activity takes place.
The hash rate, which many consider to correlate with the price, has since improved to 143.4 EH / s and approached the record level 157.6 EH / s.
Current mining revenue numbers and hash rate indicate that the bull market will continue, which can push the Bitcoin price to a new record level by the end of the year.