Bitcoin miners began June with a milestone: May revenue exceeded $1 billion for the first time since January, reaching $1.086 billion according to Newhedge. However, this achievement is overshadowed by declining BTC prices that are squeezing profitability.
The bulk of May’s earnings came from block subsidies, which contributed around $1.079 billion, while transaction fees added only a minor share. Yet, conditions have soured quickly in early June, with Bitcoin dipping over 4% to as low as $65,700 before recovering slightly to $65,800. Geopolitical tensions, including Iran’s retaliatory strikes on U.S. targets, triggered a widespread risk-off sentiment. Additionally, Citigroup analysts highlighted sustained spot Bitcoin ETF outflows—nearly $4 billion—as a key driver of Bitcoin’s weakness, more so than Michael Saylor’s sale of 32 BTC.
Falling Bitcoin prices are directly hurting miner profitability. Hashprice, the daily value per petahash of mining power, has dropped roughly 18% over the past 30 days to around $30.77, a level not seen since early April. In response, network hashrate has declined from about 1,000 EH/s to below 975 EH/s as some operators shut down less efficient rigs. Slower block production—averaging nearly 11 minutes versus the 10-minute target—points to a potential 9% difficulty reduction in the next adjustment around June 13. Such a cut could ease competition and slightly boost earnings for remaining miners.
Technical signals add to the uncertainty. Bitcoin is forming a rounding top on the daily chart, a bearish pattern that could trigger a drop toward $60,000 if support at $65,000 fails. Conversely, a recovery above $68,700 would invalidate the bearish setup and open the path to $72,000. Transaction fees have offered some relief, rising to about 1.16% of block rewards recently, but they remain a small part of miner income.
Miners now face a balancing act: the prospect of lower difficulty offers a lifeline, but persistent ETF outflows and geopolitical risks keep Bitcoin under pressure. Whether May’s strong revenue can carry into June depends heavily on Bitcoin’s ability to hold above key support levels.