Key Points
- Jefferies predicts a decrease in Bitcoin mining profitability in October.
- Marathon Digital Holdings mined the most Bitcoin among mining companies.
Jefferies, a leading investment bank, has projected a downturn in Bitcoin mining profitability in October. This forecast followed a significant dip in the same metric during September compared to the preceding month.
The bank’s report, authored by analysts Jonathan Petersen and Joe Dickstein, noted that the average price of Bitcoin remained consistent throughout the period, while its hashrate experienced a 1.7% increase.
Marathon Digital’s Mining Success
According to Jefferies, Bitcoin’s average daily revenue per exahash experienced a 2.6% drop from the value recorded in August. Based on these metrics and the current ecosystem outlook, Petersen and Dickstein suggested that October could be a challenging month with Bitcoin prices only increasing around 5%, while the network hashrate’s 11% increase more than compensates for that growth.
The report also gave insights into the performance of mining companies based on their regions. North American listed mining companies mined more Bitcoin in September than in August, comprising 22.2% of the total network – a slight increase from the 19.9% recorded in August. This improvement is partly due to better uptime for firms benefiting from lower temperatures.
Marathon Digital Holdings (NASDAQ: MARA) mined the most Bitcoin among all mining companies, recording 705 BTC. The firm, led by Fred Thiel, added more than 5,000 Bitcoin units in August, bringing its total Bitcoin holdings to 26,200 BTC. Notably, the company acquired these Bitcoin units in August rather than mining them.
This acquisition positioned the mining giant as one of the largest public holders of Bitcoin. In terms of mining, CleanSpark (CLSK) followed Marathon in September with 493 Bitcoin mined. By the end of September, Marathon’s installed hashrate was the highest in the sector.
Bitcoin Market Outlook
In other news, the price of Bitcoin saw a rebound, climbing as high as $64,834.44. This corresponds to a 3.52% increase in the last 24 hours. The surge in the flagship cryptocurrency’s price triggered a 2% pump in the broader crypto market capitalization, which was around $2.25 trillion at the time of writing. This market outlook led short traders to liquidate approximately $200 million.
From a technical perspective, the Bitcoin price needs to convert the resistance range between $64,500 and $66,500 to a support level to ensure bullish momentum ahead. Even experienced trader Peter Brandt acknowledged that the Bitcoin price must consistently close above the July high of about $69,700 to invalidate potential bearish pressure towards $48,000.
