The entire economy is facing a whirlwind of rising geopolitical tensions amid the West Asian crisis, and the Bitcoin (BTC) mining sector is no exception.
According to a report published by Hashrate Index, the global hash rate in Q2 2026 fell to 1,004 EH/s from a high of 1,066 EH/s in Q1 2026.
This 5.8% decline in the quarterly analysis (QoQ) indicates an ongoing downward cycle – a strong bearish signal for the Bitcoin ecosystem. Additionally, it indicates that miners are shutting down or using less mining power to secure the network.
How did the price of Bitcoin play a big role?
In detail, it is worth noting that this is not only a factor of global tensions but also the volatile price movement of Bitcoin. For context, the leading cryptocurrency is down 50% from its all-time high in October.
This has pushed retail prices to all-time lows.
However, the nationwide distribution of market share in Q2 2026 for Bitcoin Mining paints a clearer picture. It shows how changing geopolitical dynamics are impacting the global hash rate.
the a report This indicates that the top three countries control approximately 65% of the global hashrate. This includes the US, with a global hashrate of 375 EH/s, at 37.4%.
Next is Russia, which accounts for a global hash rate of 170 EH/s, and has 16.9%, and then there is China, which covers 12.1% with a global hash rate of 120 EH/s.
Noticeable decreases
More importantly, China saw a 1.35% decline due to its December 2025 enforcement actions in Xinjiang. In context, this enforcement action led to the closure of approximately 400,000 mining rigs.
Iran ranked second on the list, facing a 0.6% QoQ decline due to ongoing geopolitical turmoil in the region. As expected, the United States ranked third with a slight decline of 0.13% q-o-q despite an increase of more than 3% y-o-y.
Bitcoin mining difficulty and profit analysis
Meanwhile, a sideways-moving Bitcoin mining difficulty graph indicated a slight recovery or stable mining activity compared to the decline seen in March.
This reinforces the idea of increased network security and bullish confidence in Bitcoin’s value in the long term.
Additionally, Bitcoin Miner’s profit or loss chart indicates that the majority of miners are fairly paid and make average profits. However, at the beginning of the second quarter, the “very low-paying” lines have grown significantly, meaning profits are lower for the time being.
Final summary
- Bitcoin’s 50% decline from its all-time high in October is one of the factors behind the global hash rate decline.
- The profit/loss chart for Bitcoin miners shows that most miners are currently underpaid, resulting in lower profits.
