Bitcoin (BTC) Miners’ Revenue and Gross Profit Rose for a Second Consecutive Month in December, According to JPMorgan Chase (JPM)

The largest U.S. bank says in a report that Bitcoin mining profitability is now at its highest level since April 2024 when the latest halving event

Bitcoin (BTC) miners saw their revenue and gross profit increase for the second month in a row in December, according to JPMorgan Chase (JPM).

The largest U.S. bank said in a note that Bitcoin mining profitability reached its highest level since April 2024, when the latest halving event saw the available supply of BTC slashed by 50%. A rally in the world’s largest cryptocurrency by market capitalization continued to outpace network hash rate growth, increasing mining profitability, JPMorgan noted.

On average, Bitcoin miners earned $57,100 in reward revenue during the month, up 10% from November, according to the bank’s estimates. However, Bitcoin miners' gross profits remained 43% to 52% below pre-halving levels, JPMorgan Chase said in its latest report on the crypto mining sector.

Mining Difficulty Increases Further

The network hash rate rose 6% in December. Hash rate is the total combined computational power used to mine and process Bitcoin transactions on a blockchain. Mining difficulty increased 7% from the prior month and was now 27% higher than before the halving event last spring.

Elsewhere, the market capitalization of the 14 publicly listed Bitcoin miners covered by JPMorgan declined 23% to $28 billion in December, the bank noted. Bitcoin traded up about 120% over the past 12 months and last changed hands at just under $99,000 a digital token.

What Is the Street Saying About BTC?

Since most Wall Street firms do not offer ratings or price targets on Bitcoin, we'll have to pivot to the cryptocurrency's three-month performance instead. As you can see from the chart below, the price of BTC has risen 65% in the last 12 weeks, which is a strong showing.