Matrix on Target: Is Bitcoin Mining Profitable in Q1 2025? 👀
This report from Matrix on Target dives into whether Bitcoin mining is still a money-making venture as of early 2025. It says miners globally made about $85.45 million in profit in the first quarter, which sounds like a lot, but it’s actually down 9.5% from the last quarter of 2024, when profits were $93.65 million. The report breaks down the numbers: 21 mining companies they looked at earned $74.37 million in profit, which is a 23.6% drop from the $94.05 million those same companies made in Q4 2024.
The report points out that mining costs have gone up, and Bitcoin’s price hasn’t risen enough to offset that. Plus, the Bitcoin halving (which happens every four years and cuts mining rewards in half) has made things tougher. Matrix on Target, a research firm focused on crypto since 2023, also notes that even though miners have already spent $94 million on new equipment this year, the profit margins are shrinking—only about 5% of miners are doing well, while 110% of miners (basically all of them) are struggling to break even or make a profit. They suggest miners might need to pivot to other ways of making money, like offering cloud computing services with their equipment.
Honestly, this report paints a pretty tough picture for Bitcoin miners right now. The numbers don’t lie—profits are down, costs are up, and the halving is squeezing miners hard. I think Matrix on Target is spot-on about miners needing to get creative, like using their rigs for other stuff besides just mining Bitcoin. It’s a bit of a wake-up call for the industry. If you’re thinking about jumping into Bitcoin mining, I’d say hold off unless you’ve got a solid plan to keep costs low or diversify what you’re doing with your hardware. The crypto space is always a rollercoaster, but right now, it looks like miners are in for a bumpy ride!
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