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Bitcoin mining is no longer profitable: experts explain the situation
The recent sharp downturn in the cryptocurrency market has put renewed pressure on the Bitcoin mining sector.
According to a new analytical note published by Rosenblatt, the drop in Bitcoin’s price has made mining unprofitable for many companies.
Bitcoin, which was trading at $64,143 in the latest deals, has lost approximately 26% of its value since the beginning of the year. On Tuesday, the leading cryptocurrency briefly fell below $63,000, approaching its lowest level in two weeks. This price decline has also led to a significant deterioration in key metrics that directly affect miners’ revenues.
Rosenblatt analyst Chris Brendler stated that mining revenue has fallen below 3 cents, adding that such levels are “unprofitable for all miners except the most efficient ones.” Hash price — a key metric in Bitcoin mining — measures miners’ daily revenue per terahash. However, alongside Bitcoin’s price decline, this metric has also dropped by about 30% over the past three months.
According to data from Hashrate Index, the Bitcoin network hash price currently stands at around $28 per terahash per second per day. Brendler commented: “Bitcoin mining economics have deteriorated. The record-low hash price levels that impacted our earnings forecasts in December now look almost attractive compared to today.”
Weakness in the sector has also been reflected in the performance of publicly traded mining companies. Since the beginning of 2026, shares of Bitmine Immersion Technologies have fallen by 29%, while shares of MARA Holdings have declined by 13%. In contrast, CleanSpark has remained nearly unchanged over the same period.
However, some mining companies have begun shifting to alternative business models to offset their losses. In particular, the transition to high-performance computing (HPC) services is gaining momentum. Companies such as Cipher Mining and TeraWulf are moving away from operations focused solely on Bitcoin and are concentrating on building high-speed systems for data processing and complex computations.
Brendler stated that the economics of high-performance computing (HPC) are improving due to growing demand from major technology companies, adding: “We believe that all miners who are able should actively transition from Bitcoin mining to HPC.” According to the analyst, the Rosenblatt market-cap-weighted Bitcoin mining index has declined by only 2% since the start of the year. This limited decline is explained by miners’ efforts to offset losses from digital asset mining by shifting toward HPC.
See also: "UAE Authorities Accumulate $450 Million in Bitcoin Through Mining"
