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Bitcoin Mining Profitability: A Complete Guide (2026)
Bitcoin mining profitability is the difference between what your hardware earns in mining rewards and what it costs to run. Three variables are knowable upfront — your hashrate (TH/s), energy efficiency (J/TH), and electricity rate ($/kWh). Two change daily: BTC price and network difficulty.
This guide explains every factor, shows how they interact, and links to our profitability calculator so you can model your specific hardware and conditions. We do not guarantee returns — profitability depends on market variables entirely outside our control.
Articles in this cluster
What Determines Bitcoin Mining Profitability?
A deep dive into the five variables — hashrate, J/TH, electricity rate, BTC price, and network difficulty.
Understanding J/TH Efficiency
What J/TH means, how to calculate it, and why the M70S beats the M73 on efficiency despite lower hashrate.
Hosted vs. Home Mining Profitability
Why commercial $0.07/kWh rates typically outperform US residential electricity for long-term mining.
Bitcoin Mining Break-Even
The break-even formula, what moves it, and how to use a calculator to model your specific hardware.
What Is Bitcoin Mining Profitability?
A bitcoin miner is profitable when its daily revenue — the BTC it earns from the mining pool, converted to USD — exceeds its daily electricity cost. Revenue depends on your share of the global hashrate and the current block subsidy (3.125 BTC per block, unchanged since the April 2024 halving and until approximately April 2028). Electricity cost is simply your hardware’s power draw multiplied by your electricity rate.
Profitability is not a fixed number — it changes every day as BTC price moves and every two weeks as network difficulty adjusts. Use our profitability calculator to model current and scenario conditions.
The Five Variables That Determine Profitability →
Detailed breakdown in the supporting article. Summary:
| Variable | Your Control | Notes |
|---|---|---|
| Hashrate (TH/s) | At purchase | More TH/s = proportionally more rewards |
| Efficiency (J/TH) | At purchase | Lower = less electricity per TH; M70S (13.5) < M70 (14.5) |
| Electricity Rate ($/kWh) | Hosting choice | $0.07/kWh all-in at our TX facility vs. $0.13–$0.16 residential |
| BTC Price (USD) | None | ~$69,000–$69,400 as of early June 2026 — volatile |
| Network Difficulty | None | ~139 T as of early June 2026; down ~10.7% YTD |
Understanding J/TH Energy Efficiency →
J/TH (joules per terahash) is the most important hardware spec for long-term profitability. It measures how much electricity your miner consumes per unit of hashing work. The Whatsminer M70S at ~13.5 J/TH consumes less electricity per TH than the M70 at ~14.5 J/TH. The hydro-cooled M73, despite its 470–526 TH/s raw output, is actually less efficient at 14.5 J/TH — its advantage is raw hashrate density, not efficiency. See the full breakdown in our J/TH efficiency guide.
Hosted vs. Home Mining Profitability →
Most US residential electricity costs $0.13–$0.16/kWh — roughly double the $0.07/kWh all-in rate at our Southeast Texas facility. On a 3,500W miner running continuously, the monthly electricity difference between $0.145/kWh (residential average) and $0.07/kWh is approximately $197 per machine per month (3.5 kW × 720 h × $0.075 difference). That gap directly affects your break-even price and daily margin. Full analysis in the hosted vs. home profitability article.
How to Calculate Your Break-Even Point →
Your electricity break-even is the BTC price at which your daily mining revenue exactly covers your daily electricity cost. It depends on your hardware's watt draw, your electricity rate, network difficulty, and the block subsidy. Because difficulty and BTC price change constantly, break-even is a scenario — not a fixed number. Run your own break-even scenarios at our profitability calculator.
Profitability Context: Early June 2026
The following figures are a dated snapshot for context only. Do not rely on them for investment decisions — consult real-time sources before acting.
- BTC price
- ~$69,000–$69,400 (fell below $70k that week)
- Block subsidy
- 3.125 BTC/block (since April 2024 halving; until ~April 2028)
- Network difficulty
- ~139 T (down ~10.7% YTD across 6 adjustments)
- Network hashrate
- ~740 EH/s (CoinWarz) to ~1,000 EH/s (minerstat)
Sources: CoinWarz, minerstat — as of early June 2026. Figures change daily.
Frequently Asked Questions
Is bitcoin mining profitable in 2026?
Mining can be profitable in 2026 for operators with low electricity costs and efficient hardware. Profitability depends on BTC price (~$69,000–$69,400 as of early June 2026), network difficulty (~139 T), and your specific electricity rate and hardware efficiency. At $0.07/kWh with a Whatsminer M70S (13.5 J/TH), unit economics are competitive — but profitability is not guaranteed and changes daily. Use a profitability calculator to model your specific scenario.
What is the most important factor in bitcoin mining profitability?
Electricity rate is often the most controllable factor. BTC price and network difficulty are outside your control. Hardware efficiency (J/TH) is fixed at purchase. But electricity cost — especially the difference between US residential rates ($0.13–$0.16/kWh) and a competitive hosted rate like $0.07/kWh — is a meaningful variable that affects your break-even price and daily margin.
What does J/TH mean in bitcoin mining?
J/TH stands for joules per terahash — the amount of electricity a miner consumes to produce one terahash of hashing work. Lower J/TH means higher efficiency. The Whatsminer M70S at ~13.5 J/TH is more efficient than both the M70 and hydro-cooled M73 (each at ~14.5 J/TH).
How does network difficulty affect mining profitability?
Network difficulty adjusts every ~2,016 blocks (~2 weeks). As difficulty rises, each miner earns a smaller share of each block reward. As difficulty falls, remaining miners earn proportionally more. In 2026, difficulty fell ~10.7% across six downward adjustments as some miners reallocated compute to AI/HPC workloads — as of early June 2026, difficulty sat at approximately 139 T.
What electricity rate do I need to mine bitcoin profitably?
There is no single answer — your break-even electricity rate depends on your hardware efficiency, BTC price, and network difficulty. As a reference: US residential electricity averages $0.13–$0.16/kWh, which is generally too high for efficient long-term mining. The industry range for all-in hosted rates was approximately $0.065–$0.08/kWh in 2026. Fathom Labs charges $0.07/kWh all-in at our Southeast Texas facility.
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Ready to run your numbers?
Use our profitability calculator to model your hardware and electricity cost — or contact us to discuss hosting your Whatsminer at $0.07/kWh in Southeast Texas.