#CryptoStocks
Bitcoin production costs increase by 9% due to higher hashrate and energy prices
The average cost of mining a single Bitcoin was only $52,000 in the fourth quarter, but jumped 23% in the first quarter and has risen again in the second quarter.
The median cost of mining a single Bitcoin is estimated to have exceeded $70,000 in the second quarter, as miners face an increase in network hashrate and energy prices.
According to a Monday report from Bitcoin mining research firm TheMinerMag, the median cost of producing Bitcoin (BTC) has already risen from $52,000 in the last quarter of 2024 to $64,000 in the first quarter of 2025. This cost is expected to grow by more than 9% in the second quarter.
"Direct production costs are expected to exceed $70,000 in the current quarter," said TheMinerMag in its May/June industry update.
The increase in Bitcoin price gives miners a breather
An increase to $70,000 would mark a nearly 9.4% rise, which could pressure less efficient Bitcoin miners by reducing their profit margins.
With Bitcoin trading around $107,635, most miners still have a sufficient margin, although production cost estimates do not include the depreciation of mining equipment value or revenue from Bitcoin obtained from machines rented to customers, among other factors.
