Bitcoin News Today: Bitcoin Miners Outperform BTC, Crack $50B Cap Despite Shrinking Profits

The market capitalization of U.S.-listed Bitcoin miners surpassed $50 billion for the first time in September, according to a JPMorgan reportBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1]. The 14 miners tracked by the bank collectively saw their market cap rise 43% month-on-month to $56 billion, driven by strategic expansions and infrastructure upgradesBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1]. Key contributors included Cipher Mining's HPC colocation deal with Fluidstack and IREN's expansion of its cloud services divisionBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1]. This milestone reflects renewed investor confidence in the sector, with 12 of the 14 miners outperforming Bitcoin during the monthBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1].

The surge in market value coincided with a 9% monthly increase in the Bitcoin network hashrate, which averaged 1,031 EH/s in SeptemberBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1]. However, rising computational demand compressed miner profitability. The bank estimated that daily block reward revenue fell 10% from August to $49,700 per EH/s, while gross profit declined 17% year-on-yearBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1]. Bitfarms (BITF) led the sector with a 110% stock gain, while Cango (CANG) underperformed with an 11% declineBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1]. The broader mining industry's market cap has nearly doubled since its low of $21 billion earlier in 2025, reaching $47 billion by late SeptemberBitcoin Miners Market Cap Nears $50B as Stocks Stage Comeback^[2].

Industry leaders like IREN and Riot Blockchain highlighted distinct growth strategies. IREN, with a $12.58 billion market cap, emphasized renewable energy infrastructure, operating data centers powered entirely by hydropower. Meanwhile, Riot Blockchain (RIOT), valued at $6.18 billion, leveraged low-cost energy in Texas to maintain a 10 EH/s hashrate and plans to expand to 15 EH/s by 2026. Marathon Digital (MARA) and Core Scientific (CORZ) also prioritized cost efficiency, with MARA targeting a 30% reduction in energy costs per BTC mined. These strategies underscore the sector's focus on sustainability and operational scalability.

The hashrate surge to over 1,000 EH/s marked a critical inflection point. JPMorgan analysts noted that mining profitability fell for the second consecutive month as the hashrate outpaced revenue growthBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1]. Daily block reward gross profit dropped to $49,700 per EH/s, down from $55,200 in AugustBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1]. This trend highlights the sector's vulnerability to network difficulty adjustments and energy price volatility. Despite these challenges, 15 major mining firms collectively saw their market cap grow from $21 billion to $47 billion within six monthsBitcoin Miners Market Cap Nears $50B as Stocks Stage Comeback^[2], indicating strong demand for infrastructure-related equities.

The market cap milestone has broader implications for the crypto ecosystem. Combined spot and derivatives trading volume on centralized exchanges hit a yearly high of $9.72 trillion in AugustBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1], suggesting heightened institutional participation. Bitcoin mining stocks' outperformance against the cryptocurrency itself-12 of 14 miners outperformed BTC in SeptemberBitcoin Miners' Market Cap Hit a Record in September: JPMorgan^[1]-reflects investor appetite for tangible assets in the digital infrastructure space. However, analysts caution that regulatory pressures and energy cost fluctuations remain significant risks.