Bitcoin (BTC) mining in January: Miners reach a significant milestone

Bitcoin_mining_State_of_network

The first month of 2021 is behind us, and what a month it was! Bitcoin (BTC) reached a new all-time high (ATH), which is, of course, good news for miners. On top of that, the network reached an important milestone in January regarding the cumulative bitcoin miner revenue!

Bitcoin miner revenue crosses historical level

Over the years, Bitcoin as a network has grown into something incredible. A worldwide network on which users can send whatever amount of money they like for low transaction costs, without needing a bank to transfer the money. Miners have grown in numbers and power, which translates into a healthy network, revolutionizing the financial world as we know it.

Glassnode, a company that analyzes on-chain data found on the bitcoin blockchain, recently noted on Twitter that miners together generated $20 billion since Bitcoin launched. This amount has doubled over the past two years, showing the rapid growth of the bitcoin mining market.

This milestone shows that while the bitcoin price increases, miners are starting to earn more. Many miners may have had a tough time during 2019 and the beginning of 2020. That seems to change now as the revenues increase again slowly. Also, on a daily basis, miners see their income rise. When bitcoin reached its all-time high above $40.000 per BTC, miners generated over $45 million in a day. The ATH, when it comes to daily revenue, hasn’t been broken yet, though. For that to happen, the revenues have to grow to $50 million per day.

Hash rate reaches new ATH

Aside from the bitcoin price reaching a new record, also the hash rate reached a new ATH. The hash rate shows the computational power that miners are generating to mine bitcoin. This number has been increasing over the past years—both due to the increased efficiency of mining hardware and many new people deciding to start mining bitcoin.

On January 17th, an ATH was reached of 155,5 million terahashes per second (TH/s). This marks a 33% increase compared to exactly one year ago and 10% over the last month. The increasing hash rate shows that more and more miners are entering the market, making the Bitcoin network healthier and more decentralized than ever before.

Conclusion

Based on the above statistics, together with the growing amount of unique wallet addresses and the number of confirmed transactions per day, we can conclude that Bitcoin is in a healthy state. Miners see increasing revenues thanks to the bitcoin price, which can grow even more due to the massive institutional adoption taking place at this moment.
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