Halving BTC Triggers Miners Screaming In Pain!

<p>&nbsp;"What the hell is this, the miner's life will not be destroyed just like that."</p><p><br /></p><p>The next Bitcoin (BTC) halving event which is expected to happen in April 2024 is reported to cause miners' profits to be affected as every four years, the cryptocurrency's mining reward will be halved.</p><p><br /></p><p>There is no denying that investors welcome the halving event after they saw the price of BTC in 2012, 2016 and 2020 increase by 8,450%, 290% and 560% in a year.</p><p><br /></p><p>It is well known that the halving event will reduce mining rewards from 6.25 BTC to 3.125 BTC, so it may be more challenging next year when miners have to deal with rising electricity costs and debt burdens.</p><p><br /></p><p>According to Jaran Mellerud, Hashrate Index's crypto mining analyst said that almost half of BTC miners are less efficient in their mining operations, so here it can be seen that miners will struggle after the halving event.</p><p><br /></p><p><br /></p><p>He added that the break-even price of electricity for the most common mining machines is expected to drop from $0.12/kilowatt-hour to $0.06/kWh after the halving, but around 40% of BTC miners are operating at higher costs.</p><p><br /></p><p>The streak, miners with operating costs above $0.08/kWh and those who do not own mining rigs could be drastically affected due to the halving.</p><p><br /></p><p>While Kevin Zhang, Vice President (VP) of Foundry revealed that the mining difficulty hit a record high in June showing that miner competition is increasing while miner profit margins are declining.</p><p><br /></p><p>Therefore, the price of BTC should climb up to $50,000 or $60,000 in the next year so that miners can maintain the same profit margin.</p><p><br /></p><p>For the record, 14 publicly listed miners in the first quarter of 2023 spent between $7,200 and $18,900 to mine one BTC, where BTC halving was found to double mining costs to around $40,000.</p><p><br /></p><p>As of this writing, BTC price has plunged 0.73% to $30,109 in the past 24 hours with a market cap of $584 billion and has slipped 1.85% over the past week.</p>