It's been a wild ride for #Bitcoin in the past year, but it looks like things could be settling down for public #miners.
Here are 10 Bitcoin mining predictions for 2023, according to @hashrateindex 👇
1. The bitcoin bear market will come to an end
The future of #Bitcoin mining is heavily influenced by the price of Bitcoin. Arcane Research's 2022 year-end report shows that the current bear market is similar in length to 2014-15 and 2018, with a peak-to-through drawdown of 78%.
2. Bitcoin’s hashrate growth will slow down
Hashrate growth in 2022 was fueled by miners expanding during the 2021 bull market. However, the poor mining economics of 2022 will likely lead to a slowdown in hashrate growth in 2023.
3. The number of public miners will decline
Public #Bitcoin mining companies may have better access to capital, but strict reporting requirements can be costly. Going private can drastically reduce administrative costs and allow for economies of scale.
4. Hosting prices will fall as infrastructure gets deployed, miners are washed out
5. Cost minimization will be essential in 2023
Miners are heavily incentivized to reduce costs as profit margins become slim. In 2023, miners will prioritize lowering operational expenses, including electricity costs and administrative costs.
6. ASICs will become dirt cheap
ASIC prices are still too high given the current state of #Bitcoin mining economics. In 2023, prices are expected to go even lower unless the price of Bitcoin improves. At current prices, it would take over 900 days for an S19j Pro to reach ROI
7. Miners will struggle with achieving sufficient up-time
This year, #American miners adjusted #hashrate based on fluctuating electricity prices
High #electricity prices in most markets may force some #miners to turn off machines more often, reducing #bitcoin production
8. Regulators will keep targeting bitcoin mining
Regulatory pressure on the #Bitcoin mining industry increased in 2022, with some US states and Canadian provinces imposing moratoriums on mining. These bans may spread to other jurisdictions as regulators learn from each other.
9. Miners will work on strengthening their balance sheets
2023 will be a year of restructuring for the #Bitcoin mining industry. Many companies have unsustainable debt levels and will need to restructure or sell assets to pay down debt in order to avoid bankruptcy.
10. Miners will increasingly utilize Bitcoin mining derivatives
2022 showed the importance of risk management for #Bitcoin miners. In 2023, miners will become more sophisticated with risk management strategies, including optimizing the treasury and hedging revenues and costs
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2/ Despite the negative sentiment surrounding #Solana in recent months, the network has witnessed a significant increase in daily active users in recent weeks. Outperforming many other cryptocurrencies in terms of user engagement,
3/ #Solana's #DeFi and #NFT spaces are driving growth in daily active users and total value locked (TVL). In particular, the DeFi daily active users saw a spike over the last month, contributing to a rise in TVL from $206 million to $242.77 million
After a wild 2021, #crypto ran into major headwinds in 2022 as central #banks began to unwind their #pandemic-era monetary policies. Here's a look at the 6 figures that defined crypto in 2022. 👇
1. Cardano's #TVL has skyrocketed by 40% since the start of 2023! At the moment, it stands at around $67.29 million and @MinswapDEX holds the majority of it.
2. #DeFi trading volume is skyrocketing! In the past 7 days alone, total transactional volume on #Cardano-based #DeFi protocols increased by 57%, with #Minswap alone seeing a 76% increase.
2/4Tensions are rising as #Winklevoss, co-founder of #Gemini, calls out #DCG founder Barry Silbert over $900 million in locked customer funds. Crypto Twitter is speculating about potential liquidity issues at #DCG and the impact on #GBTC and #ETHE positions held by #Grayscale.
3/4 Fear is high and #liquidity is low as we continue to see drama unfold between DCG and Gemini. Sentiment in the #crypto market remains down, with most market participants not feeling bullish and hesitant to take on risk. The current index sits at 26 out of 100.
1/6 Digital Currency Group #DCG and its subsidiaries are facing liquidity issues stemming from the #FTX collapse. This has led Gemini to halt its Earn Program. But why? Let's find out. 👇
2/6 #Genesis, a crypto lending company and a subsidiary of #DCG, suspended redemptions and new loan originations on November 16 due to the market turmoil caused by #FTX.
3/6 This has led to Gemini, founded by Cameron Winklevoss, halting its Earn Program which relied on Genesis for lending services. Winklevoss has accused DCG founder Barry Silbert of “bad faith stall tactics” claiming that Genesis owes Gemini customers approximately $900 million.
1/6 Did you know that the first block of the #Bitcoin#blockchain, known as the Genesis Block, was mined on January 3rd, 2009 by the mysterious creator of Bitcoin, Satoshi Nakamoto?🤔
Find out more about The Genesis Block in @esatoshiclub's thread 👇
2/6 The Genesis Block is unique in a number of ways. For one, the 50 #BTC reward for mining the block was sent to an address that it can never be recovered from.
Since its creation, many people have sent $BTC to the account, pushing its total balance to 68.56 #BTC, worth $1.1M
3/6 #Satoshi also included a message within the block, which was a headline from a British newspaper, The Times. The headline read: "The Times 03/Jan/2009 Chancellor on brink of second bailout for banks."