FameEX Hot Topics | Bitcoin Mining Difficulty Dips Slightly From Record High

The Bitcoin mining difficulty has recently settled at approximately 126.4 trillion, according to data from CryptoQuant. This figure reflects a slight decrease from all-time highs but still indicates a highly competitive environment. Mining difficulty, alongside the network’s hashrate—measuring the total computing power securing the Bitcoin network—continues to rise, increasing both miner competition and production expenses.

Following the April 2024 halving event, which cut the block reward in half, many miners are grappling with tighter profit margins. Rising energy costs and persistent difficulty levels have forced some operations to scale back or restructure. The reduced revenue from block rewards has made it harder for smaller or less efficient miners to maintain profitability in a challenging landscape.

Nonetheless, some publicly traded mining companies are managing to expand operations despite the headwinds. Firms like Marathon Digital Holdings (MARA) are not only growing capacity but also opting to retain mined Bitcoin as a strategic treasury reserve. In May, MARA increased its Bitcoin output by 35%, despite the heightened hashrate and ongoing market volatility. The company reported mining 950 BTC for the month and growing its corporate reserves to 49,179 BTC, positioning itself among the largest Bitcoin holders globally.

MARA’s Chief Financial Officer Salman Khan emphasized the significance of their approach, noting in a June 3 post on X, “Record production month for MARA — and we sold zero Bitcoin.” This statement underscores a broader strategic pivot toward long-term Bitcoin accumulation over short-term revenue generation. CleanSpark, another publicly listed miner with a focus on sustainable energy, also reported strong performance. The company mined 694 BTC in May, a 9% increase from April, bringing its reserves to 12,502 BTC.

CleanSpark President and CEO Zack Bradford highlighted the company's growth, stating their hashrate rose to 45.6 EH/s by the end of May—a 7.5% monthly increase. The shift toward holding Bitcoin rather than selling it reflects a growing trend among major mining firms. This approach marks a significant change in strategy, as miners increasingly view Bitcoin not just as a product but as a core asset on their balance sheets.

Disclaimer: The information provided in this section is for reference only and does not represent any investment advice or the official views of FameEX.