Bitcoin mining has changed – it is no longer a price

In today’s case, Ben Harper from Clear technique It provides an update of what is happening with Bitcoin mining this year.

then, Colin Harper From Blockspace Media answers questions about the theme of mining and AI in the question and expert.

– Sarah Morton

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Bitcoin mining has changed – it is no longer a price

The bitcoin mining investment thesis was simple – miners flourished when Bitcoin rose, and when they fell, they suffered. But in 2024, this equation changed. The investment funds circulated in Bitcoin, retailers and AI mainly reshaped the industry, which reduced the dependence of miners on Bitcoin price. This is why mining is no longer just a bet on Bitcoin, and what this means for investors.

2024: Bitcoin mining was launched for bitcoin price

In 2023, Bitcoin mining shares, such as the Higher Bitcoin agentHer movements are amplified – a higher height when bitcoin gathered and collided strongly when it fell. But in 2024, this pattern collapsed. Although Bitcoin reached its highest level ever, mining shares failed to restore their previous peaks.

The table below shows the changing relationship between Index mining coding indexes Bitcoin, comparison of weekly prices and revenues before and during 2024:

Source: Index of Hell, June 2020 – December 2024

Ready -made meals: Bitcoin mining shares are no longer just a direct bet on the Bitcoin price. This difference stems from four main directions that make up the sector:

1.

Spot Bitcoin ETFS in January 2024 re -forms institutional investment in Bitcoin. With the collection of investment funds circulating in the traded investment funds more than 1.3 million BTC exceeding $ 100 billion of management assets, the appeal of the mining shares as a bitcoin agent fades. Instead of using miners as an indirect offer, the flow of capital directly to Bitcoin through the circulating investment fundsMainly transformed market dynamics.

2. Half the half and beyond: pressure on the economies of miners

The fourth half of Bitcoin in April 2024 reduced block support from 6.25 BTC to 3.125 BTC for each block, reducing the basic revenue source of two mine workers to half. Historically, the high bitcoin prices after half of it helped compensate for low rewards, but this time, miners faced the additional winds:

1. Difficulty in the high network. The height of competition reduced individual mining bonuses.
2. Low transaction fees. Decreased demand for space prohibiting decrease in decisive secondary revenue flow.
3. Hashapis collapsed. Despite the Bitcoin gathering, Hashprice, a comprehensive measure of mining revenue for each unit of arithmetic (i.e. retail), decreased by 75 %.

While the Bitcoin price increased by 120 % throughout the year, miners struggled to maintain profitability, which led to the unification of the axes and strategy in this industry.

Source: Retail Index

3. The rise of retail derivatives: Change the game for mines workers

The rapid expansion of the retail derivative market in 2024 was the rapid expansion of the retail derivative market. This emerging market allowed two mining workers to hedge from future revenue flows and reduce bitcoin fluctuations, which mainly changes how to manage risk.

Traditionally, mining revenues were at the mercy of the daily price fluctuations of Bitcoin, making it difficult for operators to predict cash flows or safe financing. However, with the emergence of attacking markets, two miners can sell future production in the future at a fixed price, which leads to a lock in revenue months ago. This financial tool works similar to future contracts for commodities in the energy sector, as it ends the electricity producers before selling to install income.

In 2024, these markets once witnessed an explosive growth. OTC sizes that need no prescription increased by more than 500 % year on an annual basis in the Hashrate market forward, as the contract periods extend up to 12 months. Meanwhile, the trading of regulatory exchange has taken a big step forward with the launch of Bitnomial Hashraate Futures, making it the first organized exchange that offers a product derived from Bitcoin.

The maturity of the retail market indicates a new era in mining financing – where miners have an increased control of their revenue flows, better access to capital, and improvement of flexibility against bitcoin fluctuations.

4. Bitcoin mining meets AI & HPC: the rapprochement of industries

With mining profits under pressure, Many companies tend to artificial intelligence and high performance computing (HPC) to diversify revenues. Bitcoin manufacturing infrastructure shares the main similarities with artificial intelligence databases – both of which require wide cooling energy. However, the shift is not an easy thing: the infrastructure of Amnesty International is more expensive for every megawat (millions for hundreds of thousands for bitcoin mining), which requires a significant investment in capital.

Some miners adopt hybrid models, and allocate some computing energy to the burdens of artificial intelligence while maintaining bitcoin mining operations. Companies such as Hive Digital Technologies, HUT 8 and Core Scientific and Bit Digital have already achieved the jump, as it has already received the profitable AI contracts to develop and install their cash flows.

Final ideas

Bitcoin mining in 2025 is no longer on the price of Bitcoin. Institutional capital, retail derivatives and diversification that artificial intelligence is reshaping the industry, giving miners new tools for risk management and improving revenue. At the same time, the costs of competition and increased infrastructure have made half of the half, and the increasing competition, efficiency and ability to adapt more important than ever.

For investors and consultants, understanding these transformations is necessary. Mining shares are no longer moving in Lockstep with Bitcoin, and changing new financial tools how mining workers work. With the continued maturity in the industry, those who admit these structural changes will be in a better position to move in the upcoming opportunities.

– Ben Harper, Director of Luxor Technology

Ask an expert

Are bitcoin miners actually greeted in storming the artificial intelligence market?

definitely. Since 2022, Bitcoin miners are increasingly exploring artificial intelligence and high -performance calculation lines (HPC). Some of the oldest engines in this transformation are hut 8, cell, IRN, basic and digital scientific bit. Recently, RIOT has expanded 600 megawatts in Corsicana on a temporary stop to evaluate the site to download artificial intelligence, The blades received 50 million dollars Investing from SoftBank for its artificial intelligence project, and Ansium and Cruzu energy They build a multi -vibrant university campus for Amnesty International as part of Project Stargate.

How will miners from client workers deal with the transitions of artificial intelligence? Is there one approach that suits everyone?

AI/HPC strategies of miners to miners. Cotton 8 and Digital bitFor example, she chose to obtain the current data center companies instead of creating their data centers from the zero point or the update modification of the current infrastructure. Core ScientificOn the other hand, it converts the huge energy assets and its infrastructure at hand to download the AI/HPC in its partnership with Coreave (Riot works can follow a similar model If you decide to convert parts of the Corsicana campus to the artificial intelligence data center). And others, like cell and IreneGraphics processing units have bought graphics processing units to operate Cloud AI/HPC services within their current facilities. Each of these strategies has differentials (The 8 and BIT BIT model is low risks, and a low reward, while the Core Scientific approach is a high risk and a high reward), and we will have a better idea of ​​the most successful approach during the next few years.

With the strong demand in the market for artificial intelligence, are the bitcoin mines of Lee Bitcoin still?

Currently, many Bitcoin mines – including Mara, Cleanspark and BitFarms – focus on bitcoin mining instead of chasing AI/HPC golden rabbit. Even if Bitcoin workers have transferred parts of their infrastructure into the AI/HPC load, they are likely to remain in Bitcoin, even if they focus this chase. Ultimately, Bitcoin and AI/HPC mining is more complementary than competitiveness, as miners can use bitcoin mining to achieve the energy investment they already paid when the demand for AI/HPC is low.

– Colin Harper, Editor -in -chief, Blockspace

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