Canaan shares recently crashed by as much as 40% on Nasdaq, which was likely caused by the continuous pressure on Bitcoin price.
Bitcoin miners are in a tight spot once again, as Bitcoin’s price continues to experience pressure. Miners were known to withdraw from the mining industry when the price dropped in 2018, simply because it was not profitable enough for them. These days, the mining difficulty is growing, while the price barely manages to remain stable.
With the upcoming block reward halving, scheduled for May 2019, and the lack of any positive price movement, many might decide to withdraw once more before they start experiencing losses.
However, the impact of the struggle surrounding bitcoin price goes well beyond just miners. Mining equipment makers are experiencing difficulties as well, with China-based Canaan being the…