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Bitcoin On-Chain Profit Falls Sharply: Traders Shift to Tighter Margins as Volatility Wanes

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Representing the core value of Bitcoin amidst fluctuating market conditions. Bitcoin's Profitability Shift: Decoding On-Chain Signals for the 2025 Investor The cryptocurrency market, particularly Bitcoin, has always been a fascinating interplay of innovation, speculation, and raw human emotion. As we navigate 2025, the narrative around Bitcoin's price action and underlying profitability is entering a nuanced phase. While the asset recently saw a sharp but brief surge above the $90,000 price mark , a deeper look at on-chain metrics reveals a significant shift: the once-lucrative profits from rapid BTC transfers are diminishing. BTC Price Trend Last 7 Days Powered by CryptoCompare This evolv...

Bitcoin Hashrate Drops 10 Percent: China Mining Instability Forces 110 TH/s Decline - US Gains?

According to a post by former Canaan (a Chinese tech company) executive Jianping Kong, Bitcoin’s estimated hashrate fell roughly 10% in a single day, sliding from about 1,053 TH/s to just under 943 TH/s.

Kong said the decline equated to roughly 100 TH/s to 110 TH/s lost since Sunday and blamed the change on mining farms in China’s Xinjiang region shutting down.

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He wrote that “at least 400,000 machines” were taken offline, using an assumed rate of 250 TH/s per ASIC as his basis.

Shifting the global mining landscape as Chinese operations are taken offline.
Shifting the global mining landscape as Chinese operations are taken offline.

China Mining Instability

Based on reports, China remains a volatile source of hashrate. Before 2021, China supplied a majority of the network’s computing power. Now estimates place its share closer to 14% to 20% depending on the data provider.

Cheap power has drawn miners back, but political and regulatory swings can push large clusters off the grid with little warning.

Kong framed the recent shutdowns bluntly, saying the temporary loss hands an advantage to other countries, adding that “the US wins without lifting a finger.”

Capitalizing on market disruption, seizing new opportunities as other regions benefit.
Capitalizing on market disruption, seizing new opportunities as other regions benefit.

Impact On Network

Data recorded the drop from 1,053 TH/s to about 943 TH/s, a decline of just over 110 TH/s and roughly 10%. That kind of move can change mining conditions.

Blocks may be found a little slower until the next difficulty adjustment. The network’s total hashrate is always an estimate inferred from on-chain data, so exact figures are not precise, but the size of this swing is large enough to show how concentrated pockets of mining can still move global metrics.

Kong’s machine-count estimate — and the 250 TH/s-per-ASIC figure he used — are his calculations, not a confirmed inventory count from operators on the ground.

Bitcoin Mining Operations And Market Shifts

Reports have disclosed that US mining companies are expanding capacity as global hashrate reallocates.

Hut 8 announced it is building four new mining sites in Texas, Louisiana and Illinois, adding 1.5 gigawatts of power capacity.

American Bitcoin, a company tied to the Trump family, is now part of that growth story; the firm acquired a fleet of 16,299 Antminer U3S21EXPH units from Bitmain and its board includes Eric Trump, the second-eldest of US President Donald Trump’s three sons. These moves underline a clear shift in where large-scale mining is happening.

Featured image from Unsplash, chart from TradingView

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Crypto Market Pulse

December 16, 2025, 14:11 UTC

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This post builds upon insights from the original news article. Original article.

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