Bitfinex analysts said expanded US access to Venezuela’s vast oil reserves could eventually lower electricity prices and improve Bitcoin mining profitability.
Cheaper and more abundant energy would improve miner margins globally and could unlock a new phase of mining expansion, particularly in regions able to secure long-term power contracts.
Bitfinex analysts said.
The US has begun seizing Venezuelan oil tankers and is expected to increase crude extraction following political intervention in the country.
Venezuela holds an estimated 303 billion barrels of crude oil, and analysts said only a small portion would be needed to influence global energy prices.
Bitcoin miners have faced margin pressure from falling Bitcoin prices, rising mining difficulty, and increasing electricity costs.
Bitfinex said any rise in Venezuelan oil output would take years, depending on political stability and the easing of sanctions.
While the long-term potential is vast, analysts estimate it would require a decade and over $100 billion in infrastructure investment to restore the country to its former status as a production powerhouse.
Matt Mena said.
Venezuelan oil production has declined from 3.5 million barrels per day in the 1970s to about one million barrels today.
Crude prices dipped following the US intervention, offering limited short-term relief to miners reliant on oil-linked power costs.
Bitfinex added that broader crypto prices are likely to remain driven by macroeconomic risk sentiment rather than energy factors alone.
At the time of reporting, Bitcoin price was $93,893.47.