Bitcoin profit cycle stops: How miners are coping with the profitability crisis

Profitability in Bitcoin mining is increasingly coming under pressure. With a current BTC price of approximately $67,870 and average energy costs in the U.S. of $0.14 per kilowatt-hour, the traditional profit margin for many miners has shrunk to zero. This trend of halting profitable mining activities now spans multiple continents and is forcing the industry to undergo fundamental restructuring.

Stop the period: energy costs break profitability limits

According to the latest data from the Cambridge Bitcoin Energy Consumption Index (CBECI), miners are in a critical situation. Those paying $0.10 per kWh for energy are producing each Bitcoin at a structural loss. The situation worsened dramatically when average commercial energy costs in the U.S. rose to $0.14 per kWh in 2025. At this rate, mining one Bitcoin costs about $94,000 — while the digital currency is currently valued at $67,870.

The market environment has proven to be stubborn: Bitcoin has fallen from its all-time high of $126,080 and has not recovered since. For U.S. miners, this means the period of profitability has already begun to halt. Without promising macroeconomic signals, the outlook for a quick turnaround remains bleak.

Global profit margins in contrast

However, the crisis is unevenly distributed worldwide. Chinese miners pay about $0.11 per kWh, which also pushes them into the loss zone. For them, stopping the period of profitability has also become a reality — an unexpected turn after years of dominance.

In contrast, Paraguay presents a different picture: with energy costs of only $0.05 per kWh, mining costs there are around $60,000 per Bitcoin. Local miners maintain significant profit margins, demonstrating how crucial energy infrastructure is for the industry.

From mining to artificial intelligence

In this tense situation, a fundamental paradigm shift is taking place. Prominent companies like TeraWulf, CleanSpark, IREN, Core Scientific, and Bit Digital are massively reorienting their infrastructure. Instead of focusing solely on Bitcoin mining, these firms are increasingly concentrating on AI data center services. This strategic shift is no coincidence — it is a rational response to the frozen profit margins.

For those who continue in traditional mining, there is only one hope: a macroeconomic turnaround that would stabilize Bitcoin prices and reactivate the profit cycle. Until then, the industry remains in a period of halting expansion, while miners and investors watch the market developments with anticipation.