Ethereum mining revenue surpassed Bitcoin in July. Both digital assets saw mining revenue decline in the year-on-year time frame.

Ethereum and Bitcoin miners saw further revenue declines during the month of July as prices of both cryptocurrencies failed to make new highs.

According to experts, July ended up being the worst month for Bitcoin miners so far this year, who were able to generate around $574.89 million in revenue during the seventh month of the year. This past month, Bitcoin miner revenue saw a 13% drop from June’s value of roughly $667.94 million.

Aside from this, the total return on BTC mining revenue over the past year has also dropped by 40% from July 2021, when around $971.83 million in revenue was recorded.

Ethereum Again Surpasses Bitcoin Mining Revenue

While Bitcoin miners managed to raise $574.89 million in July, Ethereum miners generated approximately $596.33 million.

Unlike Bitcoin, Ethereum’s revenue has soared 8% since June. As of June 2022, Ethereum mining had generated a total revenue of $549.58 million.

Like Bitcoin, Ethereum mining also saw a year-over-year monthly drop in July. Around $1.11 billion in revenue was generated in July 2021, while the figure for 2022 fell by 46%.

Although BTC remained the most popular and largest digital asset by market cap in July, miners gained more by contributing energy to validating transactions involving ETH than BTC.

Fall in Mining Income: Causes

First of all, you need to understand how the miners’ income is calculated. This is done by multiplying the total number of coins earned as rewards in July by the price of the coins (BTC and ETH).

That said, it can be concluded that the drop in digital asset market prices was the cause of the drop in mining revenue.

Throughout July, Ethereum was trading between $1,034 and $1,760. Compared to the same period in 2021, Ethereum traded in the price range between $1,722 and $2,551.

In July, Bitcoin traded in the price range between $18,967 and $24,573. In July 2021, miners made more money, while BTC was trading between $29,361 and $42,236.

What to Expect in August

In order to visualize what might come ahead, it is worth assessing what has happened this week to BTC and ETH.

BTC, currently at $28.83, is down 15.92% in the last 7 days and is up 83.77% on a monthly basis. It ranks 80th with a market cap of $500 million.

Meanwhile, ETH, currently at $36.39, it has fallen by 14.43% in the last 7 days and is up 141.18% in monthly terms. It ranks 19th with a capitalization of $4.9 billion.

According to Jose Maria Lerma, Financial Manager and collaborator, both Bitcoin and Ethereum indicated a possible market floor, and therefore, “a possibility of recovery and upward momentum, leaving the markets with a clear purchase option.”

However, the expert suggests caution, confirming whether there is a new bullish process or, on the contrary, “the markets start a strong downward momentum that leads them to seek the previous lows in the first place.”

By Audy Castaneda


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