- Bitcoin miners’ revenue surged to $20.8 million on Thursday.
- The growth relates to the increase in Bitcoin price and transaction fees.
No doubt, many cryptocurrency investors have been smiling to their portfolios for weeks now, following the present Bitcoin-led bullish rally in the market. Even the Bitcoin miners are not left out from this state of profitability. The miners have seen exponential growth in revenue lately. Data from the Bitcoin blockchain explorer shows that BTC miners’ revenue is currently at the yearly high, thanks to the increasing price of BTC, among other reasons.
Bitcoin miners record highest revenue in 2020
Per the information on Blockchain.com, Bitcoin miners gained about $20.8 million in revenue as of November 5. The previous miners’ revenue yearly high was seen on May 6, where Bitcoin miners earned $20.6 million before the block reward was slashed by halving on May 11. This shows how much growth the miners have seen in recent weeks. Currently, BTC miners are earning 6.25 BTC as block rewards, which is 50 percent lesser than the previous 12.5 BTC reward.
Noteworthily, the growing price of the cryptocurrency in recent weeks is one of the major factors behind revenue growth. Bitcoin has been posting significant price strength, making the year’s all-time high (ATH) from over $13,000 to $14,000 price level. On Thursday, the cryptocurrency broke past the $15,000 level to almost $16,000. The current yearly high sits at $15,950, from which the crypto shaded a few points to $15,452 on Coinmarketcap at the time of writing.
The rise in transaction fees
The recent surge in transactions’ fees can be attributed to a spike in the Bitcoin miners’ revenue. Last month, the transaction fee reportedly increased by 200 percent. For some reason that includes the seasonal migration of Chinese miners, the network consequently faced a huge level of congestion and a surge in the number of unconfirmed transactions as a result. As such, the network users were forced to pay more priority fees to accelerate confirmations for their BTC transactions.