Older, mid-range mining rigs such because the Antminer S19 XP+ Hydro, Whatsminer M60S, and Avalon A1466I have reportedly already handed shutdown thresholds, whereas even newer S21 models are approaching the boundaries of viability.
The profitability cliff
The bitcoin mining business is going through a extreme decline in profitability this week, as a mix of falling cryptocurrency costs and excessive community issue forces a number of mining rigs into the crimson. Based on the newest information from Antpool, present market situations have induced a number of {hardware} fashions to exceed their “closing worth.”
Based mostly on an ordinary electrical energy value of $0.08 per kilowatt-hour, the information reveals a bleak outlook for older and mid-range {hardware}. Based on Antpool, once-dominant fashions, together with the Antminer S19 XP+ Hydro, Whatsminer M60S, and Avalon A1466I, are now not worthwhile to function.
The drop in profitability was triggered when bitcoin hit a multi-month low of simply over $74,500 on February 2. Whereas the digital asset has since seen a modest restoration to consolidate, the harm to the stability sheets of smaller operations is clear. This newest drop marks a major cooling interval for the market, with bitcoin now down greater than 10% for the reason that starting of the 12 months.
The bearish outlook persists
Whereas some merchants anticipate a “rebound” from present ranges, market sentiment stays fragile. A rising refrain of analysts suggests this is probably not the underside; Some projections point out that the bearish development might persist, with the potential of Bitcoin testing the psychological threshold of $50,000.
In the meantime, strain is mounting for extra trendy {hardware}. The Antminer S21 collection, which incorporates S21, S21+, and S21 Hyd., is teetering on the sting of viability. With bitcoin buying and selling near the $75,000 mark as of February 3, 2026 at 6 pm EST, these machines are approaching a essential shutdown vary of $69,000 to $74,000.
“The miners’ revenue and loss sustainability index has fallen to its lowest studying in 14 months,” famous a current report from Cryptoquant, which mentioned miners are presently “extraordinarily underpaid” for the computing energy they supply to the community.
Whereas many operators are contemplating “pulling the plug,” the newest era of high-performance {hardware} stays comfortably within the black. The Antminer U3S23H and Antminer S23 Hydro, a part of Bitmain’s flagship collection that started transport earlier this 12 months, characteristic considerably decrease closing costs, estimated at greater than $44,000. These excessive hashrate models are presently the one fashions that obtain wholesome day by day returns as a consequence of their superior vitality effectivity.
The disaster comes at a troublesome time for the business. A current extreme winter storm in North America has already pressured a number of large-scale miners to scale back operations to guard energy grids. Moreover, whereas the bitcoin community issue noticed a slight lower of 1% in early 2026 to 146.4 trillion, it’s nonetheless close to all-time highs.
Learn extra: US winter storm weighs on Bitcoin mining community, in line with Cryptoquant
As Bitcoin continues to commerce properly under its October 2025 highs, the business is watching carefully to see if a brand new worth drop will set off a mass hashrate exodus, which might finally result in a downward adjustment in community issue.
Ceaselessly requested questions 💡
- Why are the miners preventing now? Falling bitcoin costs and excessive community issue have pushed many platforms under their closing thresholds.
- What {hardware} is most affected? Older and mid-range fashions like Antminer S19 XP+ Hyd, Whatsminer M60S and Avalon A1466I are actually unprofitable.
- Are some platforms nonetheless worthwhile? Sure, newer high-efficiency models such because the Antminer U3S23H and S23 Hyd are nonetheless viable with closing costs near $44,000.
- What’s the outlook for miners? Analysts warn that Bitcoin might take a look at $50,000, with the danger of latest shutdowns and attainable hashrate drops.
