Bitcoin Mining Profit Margins Increased in May, Says JPMorgan

JPMorgan’s latest research reveals that the combined market value of 13 U.S.-listed Bitcoin mining companies increased by nearly 20% in May. This surge coincided with a notable rally in Bitcoin (BTC) prices and stronger mining profitability.

The Bitcoin network’s hashrate—the total computational power dedicated to mining and processing transactions on the proof-of-work blockchain—rose by approximately 25 exahashes per second (EH/s), averaging 897 EH/s throughout the month. Such an increase typically signals heightened mining competition and greater difficulty.

Analysts Reginald Smith and Charles Pearce from JPMorgan highlighted that mining profitability improved significantly in May, with miners generating around $51,600 per EH/s in daily block reward revenue—a 16% rise from April.

Furthermore, daily gross profits from block rewards climbed 36% month-over-month to $27,900 per EH/s, reflecting a substantial increase in miner earnings.

Within the group, IREN (IREN) led with a 37% market cap increase, while Bitfarms (BITF) experienced an 8% decline. Overall, seven of the thirteen mining companies outperformed Bitcoin’s price gains during the month, according to JPMorgan’s report.