TechFlow news, May 1 — According to CoinDesk, a new research report from JPMorgan Chase shows that Bitcoin mining companies involved in high-performance computing (HPC) business underperformed Bitcoin itself for the third consecutive month in April.
The report noted declining mining profitability in April, primarily due to a 6% increase in network hash rate. The Bitcoin network's average monthly hash rate rose by approximately 56 EH/s to reach 872 EH/s, marking the second-largest month-on-month increase on record. Meanwhile, daily block reward revenue dropped by 6% compared to March.
Analysts Reginald Smith and Charles Pearce specifically pointed out: "We observe that miners with HPC operations (IREN, RIOT, WULF, HUT) have underperformed BTC for the third consecutive month." These companies had previously pivoted toward providing high-performance computing services for the rapidly growing artificial intelligence market as a strategy to reduce reliance on cryptocurrencies.
Nonetheless, the total market capitalization of the 13 U.S.-listed mining firms tracked by JPMorgan rose 12% in April, with Greenidge (GREE) standing out particularly, posting a monthly gain of 46%.
