What is Is Bitcoin Mining Profitable?

“Is Bitcoin Mining Profitable” is the core question to assess whether mining can achieve positive returns. For newbies, it simply means judging the cost required to mine 1 Bitcoin (including electricity fees, hardware depreciation, etc.) against the current market price. With the fluctuations in Bitcoin prices, changes in network difficulty, and differences in electricity prices, the profitability of mining is constantly changing.

Current Bitcoin price compared to mining cost

By June 2025, the price of Bitcoin is expected to soar to around $112,000, setting a new historical high. Mainstream institutional analysis shows that the “mining cost” for large miners is about $26,000–$28,000 / BTC. If calculated at the current price of $112,000, even after deducting costs, the marginal profit remains around $80,000, but it is important to note the impact of pool sharing and network fees on actual earnings.

Electricity Costs and Regional Selection

Electricity costs are one of the biggest expenses in mining. Generally speaking, regions with an electricity price ≤ 0.05 USD / kWh have an advantage, such as Texas in the United States, some areas in Canada, and energy-rich countries in the Middle East. Assuming an Antminer S21 Hydro (power consumption 5,360 W) operates at an electricity price of 0.06 USD / kWh, the daily electricity consumption is approximately 129 kWh, resulting in a daily electricity cost of about 7.74 USD and a monthly electricity cost of about 232 USD. Compared to the income from mining 0.006 BTC (≈ 672 USD), the net profit is about 440 USD / month.

Mining machine efficiency and hardware investment

The performance improvement of mining machines directly determines marginal efficiency. In 2025, popular ASIC mining machines such as the Bitmain Antminer S21 Hydro can achieve a hash rate of 335 TH/s with a power consumption of 5,360 W. Assuming the purchase price of the mining machine is $9,000, and deducting electricity costs and depreciation, the payback period is around 12-18 months. For newbies, hardware depreciation and the risks of the second-hand market need to be assessed with caution.

Mining difficulty and network hash rate trends

After the Bitcoin halving in April 2024, the network difficulty skyrocketed, and by the first quarter of 2025, the difficulty was nearing 86 trillion. At the same time, the hash rate continued to rise, and competition among miners became increasingly fierce. An increase in difficulty means that block rewards obtained with the same hash rate decrease, so if electricity prices and hardware costs do not drop significantly, profit margins will be squeezed. However, if Bitcoin prices continue to rise, it may offset the impact of the rising difficulty.

Profit Model Demonstration

The following example uses Antminer S21 Hydro 335 TH/s as an example:

1. Average monthly mining income: Assuming the total network hash rate is constant, the average monthly mining revenue per machine is approximately 0.18 BTC (approximately 20,160 USD, based on 112,000 USD / BTC).
2. Monthly electricity cost: 5,360 W × 24 h × 30 days × 0.06 USD / kWh ≈ 232 USD.
3. Monthly net income: 20,160 – 232 = ≈ 19,928 USD (excluding mining pool fees and hardware depreciation).
4. After deducting depreciation and mining pool fees (assuming 10%), the net amount is approximately 17,935 USD. This is equivalent to about 1.27 million RMB, with a payback period of ≤ 1 year.

Risks and Precautions

1. Price volatility risk: If the price of Bitcoin falls sharply, for example, dropping below $60,000, the profitability of Mining will decrease significantly, and may even turn into a loss.
2. Policy and regulatory risks: Various countries are tightening their subsidies for mining electricity and environmental restrictions, such as Germany and Sweden, which have restricted the expansion of large mining sites; if there is a drastic policy change, electricity costs may surge or mining sites may be forced to close.
3. Hardware depreciation and elimination: Mining machines upgrade quickly, and the prices of second-hand mining machines decline significantly, leading to high depreciation risks. If newbies purchase a large number of mining machines at once, they need to bear the risk of inventory devaluation.
4. Network difficulty continues to rise: The halving effect reduces block rewards by half, but the number of miners and hash power has not significantly decreased. If the price increase slows down, the mining return rate will continue to decline.

Conclusions and Newbie Recommendations

In summary, answering whether Bitcoin Mining is Profitable requires a comprehensive consideration of multiple factors such as Bitcoin prices, electricity costs, mining machine efficiency, and difficulty trends. In June 2025, the high Bitcoin price still provides ample room for profitability in mining, but newbies should closely pay attention to the following points:

• Choose regions with low electricity prices and favorable regulations for hosted mining or cloud computing services;
• Prioritize high energy efficiency ASIC mining machines to reduce energy consumption and increase hash rate return ratio;
• Keep an eye on Bitcoin market trends and network difficulty changes, and adjust mining pool strategies in a timely manner.
• Reasonably plan hardware investment and depreciation costs to avoid blind expansion.

Through scientific assessment and risk control, newbies can also find a suitable mining model based on Is Bitcoin Mining Profitable to achieve steady profits.