Bitcoin mining activity weakened sharply in January as a severe winter storm across the United States disrupted power supply and forced miners to scale back operations.
Data from Cryptoquant showed a sudden network-wide drop in hashrate, production levels, and miner revenues during the period of extreme weather.
Several large US-based mining firms temporarily curtailed activity as electricity availability became unstable due to storm-related outages.
Cryptoquant estimated the network experienced a hashrate drawdown of roughly 12%, marking the steepest decline since October 2021.
Total hashrate fell to its lowest level since September 2025, reflecting both weather disruption and existing market pressure.
Researchers said the storm intensified an already fragile mining environment shaped by falling prices and high operating costs.
Even before the storm, hashrate had been trending lower as Bitcoin retreated from its $126,000 all-time high towards the $100,000 range.
The price correction tightened margins for miners operating under elevated network difficulty conditions.
Mining revenues declined rapidly as a result of the slowdown in activity and reduced block production.
Cryptoquant data showed daily Bitcoin mining revenue dropped from around $45 million on Jan. 22 to roughly $28 million two days later.
Although revenue partially recovered to about $34 million by Jan. 26, earnings remained well below pre-storm levels.
Production figures reflected a similar contraction across the sector.
Output from the largest publicly traded mining companies fell from about 77 BTC per day to just 28 BTC during the disruption.
Production from other miners dropped from roughly 403 BTC per day to around 209 BTC, highlighting the scale of the slowdown.
On a 30-day basis, Cryptoquant described the contraction as the sharpest since mid-2024, shortly after the most recent Bitcoin halving.
Publicly traded miners recorded production losses of up to 48 BTC over the period.
Other miners collectively lost an estimated 215 BTC during the same timeframe, based on on-chain tracking data.
Profitability indicators pointed to increasing financial stress across the mining sector.
Cryptoquant’s Miner Profit/Loss Sustainability Index fell to 21, its lowest level since November 2024.