Current Bitcoin mining revenues are on par with lows in mining revenues before Bitcoin topped $69,000 in 2021

Bitcoin (BTC) has dropped into the $20,000 price range after a year and a half, making the most important job in the ecosystem — mining — a costly affair. However, if history repeats itself, bitcoin investors could witness another epic bull run that helped bitcoin reach an all-time high of $69,000.

Changes in the price of Bitcoin directly affect the income of miners. Miners receive fixed bitcoin block rewards and transaction fees to run their mining operations. Total mining revenue drops below $20 million in June 2022, with the lowest point recorded by Blockchain.com data on June 17 at $14.401 million.

Total miner revenue over time Source: blockchain.com

As shown above, the most recent drop in Bitcoin mining revenue was a year ago on June 27, 2021, when Bitcoin was trading at around $34,000 and its total value plummeted to $13.065 million. Bitcoin then ushered in an epic five-month bull run, with numerous pro-crypto initiatives such as the acceptance of BTC in El Salvador and the introduction of crypto-friendly regulations around the world.

While opinions vary on the recovery of the cryptocurrency ecosystem, small-scale investors have been seen stepping up in the bear market as they realize their long-held dream of owning a whole bitcoin. Currently, the global recession, geopolitical tensions, crypto-economic downturns like Terra (LUNA), and the ongoing pandemic are preventing the Bitcoin ecosystem from unleashing its true potential.

Sponsored Business Content

Monthly Operating Cash Flow vs. Mining Revenue Source: Arcane Crypto

Several listed bitcoin miners are likely to survive the current bear market, according to a report shared by cryptocurrency-focused financial services firm Arcane Crypto. The key to the survival of Bitcoin miners is the delicate balance between revenue and operating cash flow.

According to the report, Argo, CleanSpark, Stronghold, Marathon, and Riot are the mining companies most likely to survive the crypto winter. Meanwhile, the operating costs of Core, another major mining company, are almost on par with total revenue.