According to Coin Metrics’ Blockchain data, Bitcoin miners earned an estimated $ 1.1 billion in revenue in January, up 62% from December.
Bitcoin price record reflected in miner income
The increase in revenue came when the price of Bitcoins rose from $ 29,000 in the first half of the month to just under $ 42,000.
Revenue estimates assume that miners sell their BTC immediately.
According to data from Luxor Technologies, miner revenue, measured in terahash / second (TH / s), peaked at around $ 0.32 at the beginning of the month, and was between $ 0.2 and $ 0.27 for most of the month.
Network charges have also increased
Network fees brought in $ 116 million in January, or more than 10% of total revenue, with a small percentage increase from 9.8% of revenue represented by wages last month. Fee income reached its highest level since January 2018, according to Coin Metrics data.
Fees measured in dollars were very volatile in January, with average transaction costs rising from $ 5 to over $ 16 during the month, according to Coin Metrics.
Specifically, wages as a percentage of total revenue have maintained a strong upward trend since April, before the third block award halving in May. Increases in fee income are considered important to maintaining the security of the network as the reward decreases every four years.
Despite calls by some investment experts, such as Scott Minerd, CIO of the Guggenheim, that the price of Bitcoin is too high at the moment, miners think a strong revenue phase continues. Around the world, BTC miners continue to buy more mining machines.