Experts Discuss Why Bitcoin Hashrate Plummeted in June
Bitcoin's hash rate fell sharply to its lowest level in a year in June. The decline came amid heightened political tensions between the United States and Iran, prompting speculation about a possible geopolitical connection.
However, the experts' opinions differ. What arguments do both sides of the debate make? Let's look at the situation in more detail.
Bitcoin Hashrate Drops Sharply After ATH – Is Iran to Blame?
Hashrate, an important indicator that reflects the computing power that secures the Bitcoin network, demonstrates the scale and state of mining activity.
A high hash rate indicates more active miners, which increases network security. A decrease in this indicator usually indicates that many miners have suspended their work for some reason.
According to CryptoQuant, Bitcoin's average hashrate has fallen to 800 EH/s over 7 days, the lowest level since March 2025.
Bitcoin Hashrate. Source: CryptoQuant
The sharp decline occurred between June 14 and 24, coinciding with an increase in military tensions between Israel, the United States and Iran.
Nick, the founder of CoinBureau, has put forward a provocative hypothesis. He suggests that Iran could convert oil into bitcoin to circumvent sanctions and finance government spending.
In a post on X, Nick indicated that around 3.1% of the world's Bitcoin hashrate may come from Iran.
He argued that the drop in hashrate following the US airstrikes may not have been a coincidence. Bitcoin mining facilities controlled by Iran's Islamic Revolutionary Guard Corps (IRGC) may have been targeted.
This hypothesis is supported by the analytical company Elliptic, which reported that Iran is using Bitcoin mining as a financial instrument to counter international sanctions.
Another analyst, Mike Alfred, went further, claiming that Iran is not only evading sanctions with bitcoin, but is also using bitcoin obtained through cyberattacks to buy missiles and upgrade its uranium enrichment infrastructure.
“We may have entered an era where countries attack each other’s Bitcoin mining facilities in the global hash war I predicted in 2017,” Max Keiser told BeInCrypto.
Could the US be the real reason?
Rob Warren, author of The Bitcoin Miner's Almanac, offered an alternative view. He suggested that the decline could be due to domestic factors in the US rather than geopolitical tensions.
Rather than linking it to airstrikes in Iran, Warren pointed to the heat wave in the US as a more likely factor.
US Daytime High Temperatures. Source: National Digital Forecast Database (NDFD)
“It's impossible to know exactly how many miners are running at any given time. Block time is the only indicator we have for the current hashrate. I suspect the decline is due to the US heat dome, coupled with a host of other unknowns. I don't think Iran is the only reason,” Warren said.
Tech investor Daniel Batten agreed, applying Occam's razor—the idea that the simplest explanation is often the correct one.
He noted that record temperatures in Texas have increased demand for electricity on ERCOT's grid, forcing mining companies to cut back on operations to avoid overloads.
Energy Information Administration (EIA) data show that electricity consumption in Texas has risen sharply, partly due to the growth of data centers and mining companies. Natural gas-fired power generation is projected to grow 8% by 2025.
The crypto community is closely monitoring the final findings as geopolitical instability and climate change continue to mount. Regardless of the cause, this hash rate drop is likely to have a long-term impact on Bitcoin’s price and mining strategies.
Source: cryptonews.net
