Bitcoin Miners Face a $2.8 Billion Nightmare and Lowest Revenues in a Month

<p>Five
companies lost $2.8 billion due to a sudden drop in Bitcoin (BTC) and the
broader cryptocurrency market last Thursday. According to data from AltIndex,
the total market capitalization of publicly listed cryptocurrency miners fell
by 30% within a month, from $9.5 billion to $6.7 billion. At the same time,
miners' revenues from cryptocurrency mining dropped to monthly lows.</p><p>Bitcoin's Flash Crash Cuts
Mining Companies' Capitalization</p><p>Last
Thursday, Bitcoin's price unexpectedly fell by more than 7%, dropping to its
lowest levels in over two months, testing $26,000. As a result, the market
capitalization of <a href="https://www.financemagnates.com/terms/e/exchange/">exchange</a>-listed BTC miners and other digital assets suffered
significantly, sliding by almost $3 billion over the entire month.</p><p>Major
players, including Riot Platform and Marathon Digital Holdings, felt the most
significant losses. In their case, capitalization fell by $1.1 billion (31%)
and $800 million (25%), respectively. Canaan, Hut 8 Mining, and Cipher Mining
Technologies also lost a substantial part of their market share.</p><p>Looking at
Riot Platform's (NASDAQ: <a href="https://www.financemagnates.com/tag/riot-blockchain/" target="_blank" rel="follow">RIOT</a>) chart, we see that the price is testing over
two-month lows and has fallen by almost 50% from July highs. The company has
still gained over 200% since the beginning of the year but has had <a href="https://www.financemagnates.com/cryptocurrency/crypto-stocks-suffer-due-to-low-bitcoin-prices-and-escalating-hacks-and-exploits/" target="_blank" rel="follow">to part with
a significant portion of the profits</a> realized since January.</p><p>Moreover, RIOT and Galaxy Digital Holdings disclosed <a href="https://www.financemagnates.com/cryptocurrency/crypto-winters-chilling-aftermath-galaxy-digital-and-riot-blockchain-report-q2-losses/" target="_blank" rel="follow">disappointing financial results</a> in the previous quarter.</p><p>BTC Miners' Revenues
Lowest in a Month</p><p>Data
published by Glassnode earlier this week also does not inspire optimism. They
show miners' revenues have fallen to the lowest level in a month, amounting to
just under $170 million.</p><blockquote><p lang="en" dir="ltr">