The cost of Bitcoin mining is now the lowest its been in the past 10 months. According to JPMorgan, the costs of mining have shrunk from $24,000 in early June to $13,000.
One reason for the lower cost of Bitcoin mining is the reduced consumption of electricity. According to Cambridge University’s energy consumption index, the daily power consumption on the Bitcoin network is 9.59 GW. This is 33% less than its been one month ago.
Another reason is that miners were forced to start using more efficient mining rigs. This is because the older rigs can no longer generate profit due to the crash in BTC value and higher energy prices. New and superior mining units, such as the Bitmain Antminer E9, keep getting released.
In addition, the mining difficulty is now 6.7% lower than its been in May. It currently stands at 29.15T, having fallen from 31.25T.
However, mining profitability is still low when compared to peak periods. In fact, according to Bitinfocharts, it’s the lowest it’s been since October 2020, daily amounting to $0.095 per TH/s.