Bitcoin Mining Profitability Rose 2% in July Amid BTC Price Rally, Jefferies Says

Bitcoin

mining profitability increased 2% in July as the price of the world's largest cryptocurrency rose 7% while the network hashrate jumped 5%, investment bank Jefferies said in a research report on Friday.

"We see positive $BTC price momentum as most favorable for Galaxy's (GLXY) digital assets business, while miners fight a rising network hashrate," analyst Jonathan Petersen wrote.

The hashrate refers to the total combined computational power used to mine and process transactions on a proof-of-work blockchain, and is a proxy for competition in the industry and mining difficulty. It is measured in exahashes per second (EH/s).

U.S.-listed mining companies mined 3,622 bitcoin in July, versus 3,379 coins the month before, the report said, and these firms accounted for 26% of the total network compared to 25% in June.

IREN (IREN) mined the most bitcoin, with 728 tokens, followed by MARA Holdings (MARA) with 703 $BTC, the bank noted.

Jefferies said MARA's energized hashrate remains the largest of the sector, at 58.9 EH/s at the end of July, with CleanSpark (CLSK) second with 50 EH/s.

Revenue per exahash/second also increased. "A hypothetical one EH/s fleet of $BTC miners would have generated ~$57k/day in revenue during July, vs ~$56k/day in June and ~$50k a year ago," the analyst wrote.

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