Bitcoin mining profitability fell in August, an important signal for operators and treasuries looking to anticipate margins and risks. According to Jefferies, low prices and high hashrate reduced revenues and could prolong pressure into September. The sector faces the need to adjust costs and improve operational efficiency in an increasingly competitive environment.
Context and Impact
Jefferies attributed August’s decline to:
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Bitcoin price pullback
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Increased difficulty due to the hashrate surge
This reduced average revenue per exahash by 2.6% compared to July. The bank warned that September could also be challenging, suggesting a more sustained margin adjustment.
The global hashrate surpassed 1 ZH/s, which improves network security but intensifies competition among miners. Hashprice fell after the 2024 halving, showing strong compression in the following months.
Jina noted that, as of early September 2025, 1 EH/s generated approximately 0.49 BTC per day, highlighting the margin pressure in a context of flat prices and rising difficulty.
The reduction in block reward after the 2024 halving (from 6.25 BTC to 3.125 BTC) intensified this dynamic. Jefferies and other analysts point out that lower issuance forces miners to improve efficiency or access cheaper energy to sustain profitability. Critical factors include:
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Electricity costs
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Hardware obsolescence
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Geography of energy supply
Implications
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For traders and treasuries, falling profitability implies higher volatility in BTC supply to the market. With tight margins, some miners may liquidate reserves or equipment, affecting flows and prices in the short term.
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For miners, priority is to relocate operations to cheaper energy or pivot toward HPC centers.
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From a derivatives perspective, lower profitability may increase the correlation between spot price and selling flows in futures and perpetuals when margins tighten.
Key Data
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Revenue per EH change: −2.6% in August vs. July
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Hashrate: >1 ZH/s
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Block reward after 2024 halving: 3.125 BTC
Jefferies’ conclusion: The pressure observed in August could persist into September, making the next month an operational milestone to assess whether the industry adjusts costs and capacity before a potential price normalization or new hashrate fluctuations.
