Bitcoin miners took a back seat in mining profitability during the month of January as ethereum miners saw a 20% increase in revenue above bitcoin miners.

January proved to be a tough month for bitcoin miners. Miners were able to generate approximately $1.2 billion in revenue during the first month of 2022, according to CryptCraze research. While the patterns seem impressive, the total revenue for January was down $220 million compared to December 2021, a staggering 15% decrease in mining revenue. 

Mining revenue anew soaring from 2021 

The decrease in mining profitability over the maintain month would have had little effect on lengthy-term miners. The total profitability of bitcoin mining over the past year was up 8% afterward January 2021, that saw $1.1 billion in revenue recorded. 

Source: YCharts

Bitcoin at it addresses breaks one million in January 

While bitcoin mining revenue declined in January, the amount of active addresses rose from a low of 700,000 at the beginning of the month, to finally surpass one million by month end. 

Source: Glassnode

Bitcoin miners revenue single day excessive set at $60.16 million

Although bitcoin mining revenue was down in January, the single day strong on revenue for January 2022 was still 29% excessiveer than the strongest day in January 2021. The single day high for January 2022 saw $60.16 million in revenue, during the time January 2021 saw $46.31 million. 

February mining revenue presently sits at $548.22 million at the time of writing, with February 12 seeing a single day high so far, of $50.02 million in mining revenue.

Ethereum outpaces bitcoin mining 

While bitcoin miners managed $1.2 billion in January revenue, ethereum miners managed to mine $1.47 billion, according to CryptCraze research. In similar fashion to bitcoin, mining revenue declined by 23% from December 2021. December 2021 saw a total revenue in ethereum mining of $1.91 billion. Ethereum mining also saw a year-on-year monthly increase for January. January 2021 saw $1.31 billion in revenue recorded, with 2022 climbing by 11% as reported by CryptCraze research. 

Source: Glassnode

Miners prefer ethereum

Bitcoin goes on the top digital asset by market capitalization. After all, based on mining statistics, ethereum is a clear favorite. Before the overall decline in mining revenue in 2022, December 2021 saw ethereum mining revenue outpace bitcoin by 32%, with ethereum a clear favorite in January 2022, with 20% more revenue than bitcoin. 

What achieved the mining revenue decline?

Declining market prices can be credited as the key attribute for the drop in mining revenues. According to CryptCraze research, bitcoin opened December 2021 at $56,907. Nonetheless, declining market conditions saw the price close out 2021 at $46,306. 

Bitcoin long to slide as it dropped a one time before more 21% in January 2022. Closing out January 2022 at $38,483. The total market capitalization of bitcoin had fallen by approximately $280 billion afterward the beginning of December 2021. 

Source: Tradingview

In similar fashion, ethereum began December 2021 at $4,623. The price of ethereum mirrored which of bitcoin. Falling over 20% in December 2021. Ethereum would end the year at $3,682. The decline would become more violent in January 2022. Ethereum would plunge a also 29% by the end of January 2022, spreading to a price of $2,688. In a evidence of two months, ethereum had lost nearly 40% of its market capitalization. 

Source: Tradingview 

By the end of January 2022, bitcoin and ethereum had seen price declines of 44% and 45% respectively, from their all-time excessives in November 2021.

Miner revenue can be calculated by tanalogousg the number of coins earned by the price of the coin retaineds dealing price at a given period. This would explain why there was a decrease in mining revenue price in January 2022. 

February should see more impressive mining revenue arrangements as both cryptocurrencys see a leap from the January bottoms. Bitcoin has climbed 15% in February already, recovering $44,000. While ethereum directly holds support over the $3,100 mark. 

CryptCraze’s latest Bitcoin (Bitcoin (BTC)) analysis, click here

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