Why has mining become unprofitable after Ethereum's price drop?

1 answers

• Nov 29, 2021 · 3 years ago
  As an expert in the field, I can tell you that mining has become unprofitable after Ethereum's price drop for a few reasons. First, the cost of electricity required to mine Ethereum remains constant regardless of its price. When the price drops, the profitability of mining decreases. Second, the increased difficulty in mining Ethereum makes it more resource-intensive, requiring more powerful hardware and energy. This adds to the overall costs for miners. Lastly, the competition among miners has intensified, further reducing profitability. In summary, the drop in Ethereum's price, coupled with high electricity costs and increased competition, has made mining less profitable.
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