Bitcoin mining economics saw a significant improvement in the early days of November, according to a recent report by JPMorgan. The hashprice, which is a measure of mining profitability, increased by almost 30% in the first two weeks of the month. This rise in hashprice was attributed to the surge in BTC rally, which outpaced network hashrate growth, and an increase in transaction fees as a percentage of the block reward.
JPMorgan also reported that the total market cap of the mining stocks tracked by the bank rose by 33%, equivalent to around $8 billion, between October 31 and November 15. This increase was driven by the gains in BTC and a general optimism in the crypto market post the U.S. presidential election.
The network hashrate, which represents the total computational power used for mining and processing transactions on a proof-of-work blockchain, rose by 2% month-to-date to an average of 718 exahashes per second (EH/s). This increase indicates the growing competition in the mining industry and the mining difficulty.
Furthermore, the report highlighted that U.S.-listed bitcoin miners now contribute to about 28% of the global network, with their share of the network hashrate remaining at record highs. This indicates the strong presence of U.S. miners in the global mining landscape.
Overall, the improved bitcoin mining economics in early November, as reported by JPMorgan, reflect the positive impact of the recent BTC rally and the overall optimism in the crypto market. The increase in hashprice, total market cap of mining stocks, and the network hashrate all point towards a thriving mining sector in the current market environment.
