Bitcoin Mining Margins Improve as Network Hashrate Increases in Early May, JPMorgan Reports
Bitcoin’s network hashrate rose by 2% during the first two weeks of May, reaching an average of 885 exahashes per second (EH/s), according to a research report from Wall Street firm JPMorgan released Friday.
The hashrate represents the total computational power dedicated to mining and processing transactions on Bitcoin’s proof-of-work blockchain. It serves as an indicator of mining competition and overall network difficulty.
JPMorgan noted that miner profitability improved in May, supported by a rising bitcoin price, which currently sits at around $104,737.33. Gross margins expanded sequentially, a positive sign for the mining sector.
The hashprice—a metric measuring daily mining profitability—jumped 13% from April, a trend JPMorgan described as “encouraging.”
“We estimate miners earned approximately $50,100 in daily block reward revenue per EH/s over the first two weeks of May, reflecting a 13% increase from last month and a 3% year-over-year gain,” analysts Reginald Smith and Charles Pearce wrote.
U.S.-listed bitcoin miners retained their network share, currently accounting for about 30.5% of total hashrate—a 1.1% increase compared to April.
The combined market capitalization of the 13 U.S.-listed bitcoin mining stocks tracked by JPMorgan rose 24% this month, adding approximately $4.6 billion in value.
Among individual stocks, Bitdeer (BTDR) led with a 43% gain, while Greenidge (GREE) lagged behind, declining 5% during the period, the report said.
