In a recent report, JPMorgan forecasted a 20% drop in the Bitcoin Network Hash Rate following the Bitcoin halving slated for April 2024.
According to the report, released, it states, “We estimate as much as 80 EH/s (or 20% of the network hashrate) could be removed at the next halving (April ‘24) as less-efficient hardware is decommissioned.”
The Bitcoin halving, which occurs every four years, reduces Bitcoin miners’ rewards by half. The next halving, set for April 2024, is expected to lead to a significant reduction in the four-year block reward opportunity from $73 billion in April 2021 to approximately $20 billion, based on the current Bitcoin price.
While the report lists several Bitcoin mining firms, it designates Bitcoin mining company, CleanSpark, as its top pick. It notes, “We believe CLSK, our top pick, offers the best balance of scale, growth potential, power costs, and relative value.”
On the other hand, Marathon Digital, despite being the largest operator, is marked down due to its high energy costs and low margins. The company currently has approximately 155,910 operational miners worldwide.
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