In September, daily mining revenue and gross profit experienced a third consecutive month of decline, according to a report released by JPMorgan.
The bank highlighted that the network hashrate increased by 2% compared to August.
September saw daily block reward gross profit hit the lowest point in recent memory, as stated by the bank.
JPMorgan’s research report revealed that despite a slight rise in the average bitcoin (BTC) price and network hashrate, daily mining revenue and gross profit continued to decrease for the third consecutive month.
The hashrate saw a 2% increase from August, reaching 643 exahashes per second (EH/s). Hashrate is a measure of the total computational power used for mining and processing transactions on a proof-of-work blockchain.
Miners earned an average of $42,100 per EH/s in daily block reward revenue in September, marking a 6% decrease from the previous month.
“We estimate daily block reward gross profit declined 6% month on month (m/m) to $16,100 per EH/s (38.4% gross margin) in September, the lowest point on recent record,” wrote analysts Reginald Smith and Charles Pearce.
The authors also noted that transaction fees remained subdued, not exceeding 5% of the block reward.
The total market cap of the 14 U.S.-listed miners tracked by the bank increased by 4% to $21 billion. Hut 8 (HUT) showed the strongest performance with a 21% gain, while CleanSpark (CLSK) experienced a 13% decline.
Bitcoin’s annualized volatility decreased to 44% in September, down from the 62% recorded in August, according to the report.
Read more: Bitcoin Mining Profitability Remains at All-Time Lows as Prices Fall, Hashrate Rises, JPMorgan Says