The Bitcoin network is experiencing significant stress as its hash rate has dropped below 1 zettahash, settling near 920 EH/s. This decline is attributed to a surge in energy costs and competition from AI data centers, which are outbidding miners for electricity contracts. Concurrently, geopolitical tensions in the Middle East are driving oil prices higher, further exacerbating the energy squeeze on the mining sector.
Bitcoin's price has fallen below $72,000, reaching its lowest level since October 2025. Investment analysts warn that the pain is not over, as the network is expected to undergo a difficult difficulty adjustment of approximately 8%. This would mark the second-largest negative adjustment in five years, signaling accelerating miner capitulation.
The fundamental economics of mining have deteriorated sharply. The cost to mine one Bitcoin is now estimated to be over $87,000, making operations unprofitable at the current market price. This cost-pressure is forcing a major industry shift. Public mining companies are beginning to sell their Bitcoin holdings and pivot capital expenditure toward AI infrastructure. For example, Cango Inc. (rebranding as EcoHash) sold 4,451 BTC in February alone to reduce debt and finance its AI pivot, according to its CEO Paul Yu.
Analysts from Needham & Company expect this trend to continue, with many miners likely to sell nearly all their BTC holdings. This creates sustained selling pressure that even the substantial institutional inflows into spot Bitcoin ETFs—which have seen about $1.7 billion in net inflows since late February—may struggle to absorb. BlackRock's iShares Bitcoin Trust (IBIT) alone added roughly $300 million year-to-date.
The article contrasts Bitcoin's struggles with the narrative of a presale project called Remittix (RTX), which is presented as capitalizing on this rotation. Remittix is described as having raised $29.7 million in private funding, with a live wallet on the Apple App Store and targeting the $19 trillion cross-border payments market.
