Bitcoin Mining Revenues Hit Year-on-Year Low

In the past four months, starting in May 2022 when cryptocurrency prices hit new lows buoyed by the collapse of the TerraUSD (UST) stablecoin that underpinned the Terra ecosystem, mining revenues entered a downward spiral.

Despite a 10% increase in revenue from $597.35 million in July to nearly $657 million in August, according to Coin Metric data, revenue from the largest cryptocurrency by market capitalization remained well below the $1 billion threshold that miners are accustomed to. 2021.

Given how mining returns are calculated, much of the decline was attributed to Bitcoin's relatively smaller price range throughout the eighth month of the year.

Mining revenue is calculated by multiplying the total number of bitcoins earned as rewards by the price of bitcoins over a given period.

In August 2022, Bitcoin traded in the price range of $1,600.79 and $2,5135.59 after the month's open and close at $23,336.72 and $2,049.76, respectively.

YChart data showed that the highest daily earnings of bitcoin miners were $24.65 million on August 19.

Bitcoin Mining Revenues Hit Year-on-Year Low:

Like most of the months before August, bitcoin mining has seen an annual decline in revenue.

Mining revenue in August 2021 was about $1.4 billion, and the total reward earned from the last month was down 53%.

During this period, bitcoin traded in the range of $37,458 and $50482, according to CoinMarketCap data.