Bitcoin mining update: Stocks cool off, miners send BTC to exchanges to prep for halving

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Data shows Bitcoin miners preparing for the upcoming halving as profitability dips and hashrate competition heats up.

In July, Bitcoin mining stocks continued their positive run in 2023 with the top ten stocks by market cap gaining 23.10% over the month on average, with an year-to-date return of 277.34%.for the sixth week since June 2023. Despite a difficult July, BTC price is still up 78.88% in 2023.The decline in Bitcoin’s price reduced the profitability of miners. To make conditions more challenging for miners, the mining difficulty reached a new all-time high, reducing miner profitability.

As the network's hashrate is expected to increase through the year as miners reinvest in new machines and adopt other hedging techniques, miner profitability and stock valuations will continue to face pressure in the lead-up to the event.While BTC price has increased by around 80% year-to-date, the mining difficulty also increased by 51%, offsetting the rise in profitability due to price surge.

The adjustment will likely ease the pressure on miners, but only slightly. The total hashrate is still ranging above last month’s lows after rising consistently since the start of 2023. These strategies involve improving the cash flow and profits of their operations by managing the existing and newly mined BTC before the halving.

 

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In July, Bitcoin mining stocks continued their positive 2023 run, with the top 10 stocks by market cap gaining 23.10% on the month on average, with a year-to-date return of 277.34%.

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