The profitability of Bitcoin mining has reached a troubling low, as indicated by the miner profit/loss sustainability index from CryptoQuant. This key metric, which evaluates the price of Bitcoin against the operational costs of mining, has fallen to 21, marking the lowest level since November 2024.
Recent challenges have significantly impacted miners, with Bitcoin”s price declining sharply this week amid external factors such as a severe winter storm that affected large areas of the United States. This storm not only hampered mining operations but also contributed to a drop in daily mining revenues, which plummeted to a yearly low of $28 million.
CryptoQuant”s report highlights that miners are currently “extremely underpaid,” a situation exacerbated by the recent trends in Bitcoin”s market dynamics and current mining difficulty levels. The network”s hash rate has experienced a downturn for five consecutive epochs, reaching its lowest point since September 2025.
As the overall market sentiment remains bleak, the shares of publicly traded mining companies—such as MARA Holdings, CleanSpark, and Riot Holdings—have also seen double-digit declines over the past week. This downturn in the mining sector aligns with a broader drop in both traditional equity markets and cryptocurrency assets.
Bitcoin itself has not fared much better, experiencing a 6% decrease in value over the past week and trading at $83,956, which is approximately 33% below its all-time high of $126,080 recorded in October.
Further complicating the landscape for miners, data from the Cambridge Bitcoin Electricity Consumption Index has revealed that the cost of mining Bitcoin now exceeds its market price, pushing some firms to reassess their operations. Notably, companies like Bitfarms and Bit Digital are pivoting away from traditional mining models in search of alternative, potentially more profitable business strategies.
A representative from CryptoQuant was unavailable for immediate comment regarding these alarming trends affecting Bitcoin mining profitability.
