The collapse of the bitcoin rate to as low as $6000 can force many bitcoin miners to leave the industry. Only those who have access to cheap electricity will achieve lossless activity.

Many bitcoin miners suffer from the crash of the cryptocurrency market, as proceeds from mined bitcoins do not cover their operating expenses due to the drop in the bitcoin price. Only large mining enterprises that produce the cryptocurrency on industrial scale continue to remain profitable. Their main competitive advantage is their access to cheap electricity (no more than $0.06 per kilowatt-hour), the Beijing-based division of consulting Bloomberg New Energy Finance reports.

“There are definitely some miners who are already out of money,” said BNEF analyst Sophie Lou, adding that the most efficient players in the bitcoin mining industry can continue to generate profits until the bitcoin rate is higher than $3000.

If bitcoin continues to trade at $6000 in the next few weeks, less efficient miners with high maintenance costs will be forced to leave the market, she supposed.

The bitcoin rate fell almost threefold compared to the peak values ​​of mid-December. According to, the revenues of the mining industry decreased even more, from $53 million on 17 December to $16 million as of 5 February.

Miners revenue dropped even more than the bitcoin rate itself, as their income depends on the growing network complexity that also contributes to the decrease in their profitability.

According to IBTimes, from the electricity price point of view, the best conditions to mine bitcoins are met in Venezuela. The cost of electricity necessary to mine one bitcoin there is only $531.


The list of countries, most profitable in terms of electricity tariffs, also include Trinidad and Tobago ($1,190), Uzbekistan ($1,788), Ukraine ($1,852), Kuwait ($1,983), Belarus ($2,177), Bangladesh ($2,379) , Kazakhstan ($2,835). China is 10th ($3,172 for one bitcoin), Russia stands in 13th place ($4,675), only a couple of dollars bypassing the US.