# Profitability Related Articles

CleanSpark and Bitcoin miners’ selling spree – Is the miner HODL era ending?

Bitcoin's retreat from its October 2025 peak has triggered a significant shift in miner behavior, with public mining companies accelerating BTC transfers to exchanges. As mining profitability tightens due to a declining hashprice and rising operational costs, miners are increasingly liquidating reserves to maintain cash flow. Since October 2025, publicly listed miners have sold over 15,000 BTC, reducing total miner balances. This trend is exemplified by CleanSpark, which sold nearly all its February production (553 of 568 BTC mined), a stark contrast to its previous retention strategy. This signals a broader industry move away from long-term accumulation toward immediate monetization. Current miner selling patterns resemble late-cycle capitulation phases, though the selling pressure appears more controlled than in previous bear markets. The Miner Position Index remains low, while the Hash Ribbons indicator recently flashed a buy signal, historically preceding market rebounds. However, corporate miners' use of hedging and diversified revenue streams suggests this cycle may feature a more gradual transition rather than violent capitulation.

ambcrypto03/07 05:33

Profit Soaring, Sentiment at Rock Bottom: The True Face of Crypto Amid $6 Billion Unlock

The crypto industry faces a paradox: record-high profitability amid extreme fear and negative sentiment. While protocols generated $74.8 billion in fees since 2018—nearly half in the last 18 months—many projects have shut down, and layoffs are widespread. Key shifts in revenue structure reveal that stablecoin issuers like Tether and Circle now dominate, capturing 34.3% of all fees due to high demand for dollar-backed assets and near-zero marginal costs. Meanwhile, trading-focused applications (e.g., Telegram bots and perpetual exchanges) have surged, accounting for over 15% of revenue by catering to speculative demand. In contrast, layer-1 and layer-2 blockchains and DeFi protocols have seen valuations collapse, with price-to-fee ratios dropping sharply. The median monthly revenue for protocols has fallen to $13,000, indicating intense competition. The industry’s moats include first-mover advantage (e.g., Tether), liquidity depth (e.g., Aave), and distribution prowess (e.g., meme platforms). Token valuations are now more rational—often below traditional finance multiples—but must evolve to offer real economic rights and governance utility. Crypto’s future lies in integrating with the broader internet infrastructure, focusing on high-frequency trading fees and verifiable transparency.

marsbit03/06 09:42

Cheaper to mine, harder to profit – The new reality for Bitcoin miners!

ambcrypto02/28 08:02

Bitdeer Liquidates 943.1 BTC Reserves: Is It a 'Winter Is Coming' for Mining Giants or a 'Breakthrough Rebirth' in the AI Sector?

Bitdeer, a major Bitcoin mining company, has completely liquidated its Bitcoin reserves, selling off 943.1 BTC despite recently becoming the world's largest publicly traded mining firm by self-mining hash rate (63.2 EH/s). This move reflects severe pressure from plummeting mining profitability, driven by a sharp 14.72% increase in Bitcoin network difficulty and a collapse in Hashprice to under $30/PH/s/day—pushing many miners toward unprofitability. Rather than holding volatile Bitcoin assets, Bitdeer is prioritizing cash flow and strategic financial maneuvering. The company raised $325 million via convertible senior notes, partly to restructure debt and hedge against equity dilution, signaling a shift toward sophisticated corporate finance practices. The core strategy involves pivoting from Bitcoin mining to high-performance computing (HPC) and AI cloud services. Bitdeer aims to leverage its energy infrastructure and data center expertise to capture opportunities in the high-demand AI compute market, where long-term contracts offer more stable revenue compared to Bitcoin's volatility. This transition marks a broader industry trend where large miners evolve into diversified energy and compute infrastructure providers, prioritizing capital efficiency and new high-margin opportunities over traditional "HODL" strategies.

marsbit02/23 04:41

Morgan Stanley Initiates Bitcoin Miner Coverage, Rates Cipher and TeraWulf Overweight, Marathon Underweight

Morgan Stanley has initiated coverage on major Bitcoin miners, framing them as infrastructure businesses rather than pure cryptocurrency plays. The bank assigned Overweight ratings to Cipher Mining and TeraWulf, citing their potential to transition into stable utility-like companies through long-term power contracts and site leasing—particularly to AI tenants. Cipher is seen as well-positioned for a potential “REIT endgame,” while TeraWulf’s management experience in power and infrastructure supports its positive outlook. In contrast, Marathon Digital received an Underweight rating due to its heavy dependence on Bitcoin price volatility, mining difficulty, and energy costs, making it a higher-risk investment. Morgan Stanley emphasizes that the infrastructure model offers more predictable income and deserves higher valuation multiples.

TheNewsCrypto02/10 07:10

Bitcoin’s THIS profit signal is weakening — Why BTC traders should watch

Bitcoin's key profit signal, the Realized Profit/Loss Ratio (90-day SMA), is weakening and approaching the neutral level of 1, indicating shrinking profit dominance and increased loss realization. This reflects mounting market stress, though not full capitulation. Concurrently, the MVRV Z-Score has compressed to its lowest since October 2022, pulling prices closer to fair value and reducing speculative excess. The NVT Golden Cross has deteriorated sharply, signaling weak on-chain transaction support for current valuations. Furthermore, declining exchange reserves and persistent outflows point to thinning liquidity, which amplifies price volatility. Despite these pressures, continuous coin withdrawals suggest strategic accumulation rather than panic selling. The overall metrics describe a phase of controlled stress, where Bitcoin is closer to stabilization but remains in a volatile, neutral environment awaiting a recovery in network demand or facing prolonged compression.

ambcrypto02/04 22:02

WisdomTree Makes Crypto a Core Business as Tokenized Assets Near Profitability

WisdomTree, a global asset manager with $150 billion in assets, has declared crypto and blockchain technology a core part of its business strategy. CEO Jonathan Steinberg announced at the Ondo Summit that the company's crypto operations are built for long-term growth and are nearing profitability. The firm’s tokenized assets under management surged from $30 million to $770 million in a year, representing a 25x increase since 2024, and expanded from Ethereum to Solana. Steinberg emphasized that crypto is no longer an experiment but a conviction-driven business. WisdomTree focuses on regulated tokenization, offering tokenized funds for faster, cheaper settlements and a platform called WisdomTree Connect for moving assets across wallets and institutions. The acquisition of Securrency enabled the creation of compliance-aware tokens with built-in regulatory rules. Steinberg views blockchain as a way to rebuild outdated financial infrastructure from scratch, signaling a shift toward institutional, regulated crypto adoption.

TheNewsCrypto02/04 09:29

Why Bitcoin miners feel the squeeze as BTC trades below $80K

Bitcoin is trading near $70K, putting pressure on miner profitability. Data indicates that many widely used mining rigs, including popular Antminer models, are operating near their break-even or shutdown levels due to rising electricity costs. While this doesn't mean immediate shutdowns, it makes operations increasingly difficult. Under financial strain, miners may alter strategies, such as selling Bitcoin holdings or deactivating older, inefficient machines. In January, approximately 175,000 BTC was transferred to Binance, with daily inflows sometimes spiking to nearly 10,000 BTC. These transfers don't always result in immediate sales, but they increase market supply, which can quickly turn into selling pressure if demand remains weak.

ambcrypto02/04 00:02

If Bitcoin Drops Further, Some Miners May Switch Off — Antpool Data Explains Why

Based on Antpool data, Bitcoin's current price of around $78,000 is nearing the shutdown threshold for many mid-tier mining rigs. Models like the Antminer S19 XP+ and Whatsminer M60S are operating with minimal or no profit. If BTC drops to the $69,000–$74,000 range, even the newer S21 series could become unprofitable. However, highly efficient models like the S23 remain profitable even at much lower prices, around $44,000. A further price decline could force a wave of miner shutdowns, reducing the network hashrate and triggering a downward difficulty adjustment. This would lower costs for remaining miners, potentially signaling a market bottom, while creating short-term selling pressure as miners liquidate assets.

ccn.com02/03 10:37

Bitcoin trades below ETF cost basis as profitable supply falls to cycle lows

Bitcoin is trading below the average cost basis of U.S. spot ETF investors, estimated above $84,000, following significant weekly outflows. This has pushed many institutional and on-chain holders into unrealized losses. The supply of Bitcoin held in profit has dropped sharply to 11–12 million BTC, nearing cycle lows, down from 19–20 million BTC in August. The market shows signs of profit exhaustion, with reduced liquidity and muted rebound attempts. Recovery may depend on either reclaiming the ETF cost basis or a prolonged consolidation phase to rebuild profitability.

ambcrypto02/02 17:24