Bitcoin miners’ income dropped by 23 points, $9,000 is just a strong support, when will the crash come?

Bitcoin miners saw a 23% drop in revenue in June, driven by lower network fees and a reduction in block subsidies following the halving.

According to data from Bitcoin Daily, Bitcoin, the cryptocurrency with the largest market value, suddenly fell sharply on Thursday night, plummeting from $9,300 to around $9,000. However, the fundamentals of the Bitcoin network remain strong, and computing power is skyrocketing. Could it be that miners are also using love to generate electricity?

For most of yesterday, Bitcoin was trading sideways below $9,300, with little price fluctuation. At around 23:00 Beijing time, the price of Bitcoin suddenly dropped to around $9,000, but then rebounded slightly.

Over the past two months, Bitcoin has been trading in a range between $9,000 and $10,000, with strong resistance above and support below.

However, this decline still wore out investors' patience. Investors had hoped that Bitcoin would be able to stabilize at $9,300 and then continue to hit $10,000.

Earlier on Thursday, Bloomberg analyst Mike McGlone said that Bitcoin's current volatility is decreasing, which may be a precursor to a significant price increase. He mentioned that compared with the highest volatility on March 13, Bitcoin's current volatility has dropped by 97%.

In addition, coupled with the recovery of US employment data and the boost of the US stock market, he believes that Bitcoin will continue to rise and hit new highs before the end of the year.

In terms of the fundamentals of the Bitcoin blockchain network, Glassnode CTO Rafael Schultze-Kraft said that on-chain indicators including transaction volume, number of new addresses, and number of valid addresses make investors optimistic and the fundamentals remain strong.

The number of new Bitcoin addresses per day has reached 256,000, a two-year high. The last time similar numbers were recorded was during the bull run in late 2017 and early 2018. At that time, the number of new addresses per day was between 800,000 and 600,000.

The total number of addresses on the network has now exceeded 670 million. However, only 2,135 addresses have a balance of more than 1,000 BTC, and no more than 110 addresses have a balance of more than 10,000 BTC.

The number of daily active addresses currently stands at 1.08 million, the highest since January 2018, when the record was 1.24 million.

The number of daily transactions on the Bitcoin blockchain is now 382,000, a level last reached about 10 months ago.

The number of transactions processed per second on the Bitcoin blockchain network also reached its highest level in a year. After the third halving last month, the processing rate dropped to 2.48 transactions per second, and now the transaction rate has risen to 4.42 transactions per second.

New changes in computing power

In the fourth quarter, the domestic flood season ended and miners once again began to migrate seasonally. The ultra-low electricity prices during the flood season are no longer available, and high-power consumption models have withdrawn from the entire network. At the same time, new main models will be released in the second half of the year, and the proportion of high-computing power equipment launched by various mining machine manufacturers will increase, completing the "new and old replacement" of computing power.

From the perspective of global computing power, new large-scale mining farms are expected to be built in North America, and overseas computing power is showing an upward trend.

As the geographical location and scale of mining farms change, what new balance will the computing power of the entire network achieve in the second half of the year?

BTC bull market expectations

In the second half of the year, phenomenal projects such as Filecoin and Ethereum 2.0 will be gradually launched, the mining coin production reduction season will continue, new mining opportunities, changes in market supply and demand, and the improvement of the domestic epidemic situation are expected to inject new liquidity into the entire industry.

After experiencing the market test and the industry's zero-sum game, the miners who survive will be able to establish their own advantages in the "post-halving era".

In the second half of the year, will we be able to see the emergence of major currencies such as BTC and a bull market? Or will it end up like the global financial market and become a mess?