Bitcoin’s computational power suffered a significant 15% decline in June 2024, sparking concerns about network resilience amid escalating geopolitical tensions and environmental challenges. The abrupt drop saw the global hashrate fall from approximately 943.6 billion terahashes per second (TH/s) to 799.9 billion TH/s between June 15 and June 24, marking one of the sharpest contractions in recent years.
Geopolitical turmoil served as a primary catalyst, with disruptions stemming from Iran’s nationwide internet blackout coinciding with U.S. military strikes on Iranian nuclear facilities. This dual crisis immediately impacted mining operations across the region, removing substantial computational resources from the global Bitcoin network almost overnight.
Simultaneously, extreme heatwaves across multiple mining hubs increased electricity consumption for cooling infrastructure while driving power costs to seasonal highs. These environmental pressures compounded operational challenges for miners already navigating compressed profit margins, forcing temporary shutdowns especially among energy-sensitive facilities.
Industry analysts caution against interpreting the hashrate plunge as a singular indicator of network vulnerability, emphasizing that Bitcoin’s fundamentals remain robust despite short-term fluctuations. However, experts underscore the necessity for continuous monitoring and adaptive operational strategies to mitigate complex, interconnected risks.
This event highlights Bitcoin mining’s growing exposure to external global pressures while reinforcing calls for diversified energy sourcing and geographical distribution of computational resources to enhance network stability during crises.