Bitcoin Network Hashrate Slumps Sharply After 2024 Halving Amid Chinese Mining Cuts

Bitcoin’s network hashrate has posted its steepest decline since the April 2024 halving, as roughly 400,000 mining machines in China reportedly went offline, according to former Canaan chairman Jack Kong.

Matthew Sigel, head of digital assets research at VanEck, noted that the 30-day simple moving average (SMA) hashrate for bitcoin (BTC $87,182.84) reflects the drop. The hashrate measures the total computational power securing the network.

Kong said on X that computing power fell by about 100 exahashes per second (EH/s) in a single day—an 8% decrease. Based on an average of 250 terahashes per second per machine, this suggests over 400,000 rigs were shut down. He added that mining farms in Xinjiang were closing sequentially, indirectly benefiting U.S.-based miners.

This development comes a month after China returned as the world’s third-largest bitcoin mining hub, contributing roughly 14% of global hashrate.

Glassnode data shows total hashrate dropping from roughly 1.1 zettahashes per second (ZH/s) to just above 1 ZH/s. Hash prices remain near $37 per petahash per second, a five-year low. Mining difficulty is expected to decline about 3%, providing temporary relief, and currently stands at 148.2 trillion (T), just below its all-time high.