Bitcoin mining profitability saw a notable rise in May, driven by higher BTC prices and increased efficiency across several mining firms, according to a new research report from JPMorgan.
Strong Market Growth Among U.S.-Listed Miners
The total market capitalization of 13 publicly listed U.S. Bitcoin mining firms tracked by JPMorgan rose by approximately 19% in May compared to April. This gain outpaced Bitcoin’s price performance and reflects growing investor confidence in the mining sector.
“Seven of the thirteen miners outperformed Bitcoin during the month,” the bank noted, signaling selective strength among key mining players.
Hashrate and Profitability Metrics Improve
The Bitcoin network hashrate, a key indicator of mining difficulty and competition, increased to an average of 897 exahashes per second (EH/s) in May — a rise of around 25 EH/s from the previous month. A higher hashrate often signals increased participation and more intense competition within the mining ecosystem.
Despite the rising hashrate, mining profitability improved:
- Average daily block reward revenue per EH/s reached $51,600, up 16% month-over-month.
- Gross profit per EH/s jumped 36% to an average of $27,900, JPMorgan reported.
These gains were supported by favorable Bitcoin price movements and more efficient operations across the industry.
Top Performers and Underperformers
Among the tracked companies, IREN (Iris Energy) led the group with a 37% rise in market value. Conversely, Bitfarms (BITF) lagged behind with an 8% decline over the same period.
This disparity reflects ongoing volatility and differentiation in miner performance, driven by factors such as energy costs, operational scale, and regional regulation.
Conclusion: Mining Sector Shows Resilience
Bitcoin miners are benefiting from both rising prices and improved operational returns, as reflected in the strong May performance across market capitalization and profitability metrics.
The industry’s adaptability to changes in hashrate and difficulty shows underlying strength as firms prepare for future fluctuations in BTC economics and network performance.