JPMorgan analysts trimmed the estimated cost of mining one BTC from $21,000 to $18,000. The revision followed Cambridge Centre for Alternative Finance’s methodology for the electricity consumption index in mining, The Block reports.<\/p>\n
CCAF<\/span> acknowledged<\/a>, not all equipment should be treated equally, as participants often switch to newer, more capable devices or use a mix of machines with different efficiencies.<\/p>\n Changes in electricity prices are expected to have a smaller impact on mining efficiency, according to the bank’s analysts.<\/p>\n \u201cEarlier we calculated that a rise or fall in this factor by one cent per kWh would lead to mining costs of $4,300. After revising the methodology we lowered the estimate to $3,800. After halving<\/a> it will automatically double,\u201d<\/em> \u2014 the report says.<\/p>\n<\/blockquote>\n The expected April 2024 halving of the block reward will make cost management even more important for the industry. According to experts, the event will be a stress test for Bitcoin mining participants given their high sensitivity to electricity prices.<\/p>\n Earlier, mining difficulty<\/a> of Bitcoin<\/a> decreased by 2.65%<\/a> as a result of the latest recalculation.<\/p>\n\n