Several of the largest publicly traded bitcoin miners are scaling back production and redirecting power toward artificial intelligence and high-performance computing, but the Bitcoin network itself shows little sign of strain. According to a CryptoQuant report shared with CryptoPotato, the network's hash rate has rebounded sharply from its summer lows and now sits less than 9% below its all-time high, suggesting other operators are filling the capacity being retired.
Five Listed Miners Cut Output
The report found that five major listed miners — IREN, Core Scientific, Bitfarms, TeraWulf and Cipher — have shifted toward AI and HPC and produced 47% fewer bitcoin than in the same period a year earlier. Their combined output fell from 13,263 BTC to 7,075 BTC.
- IREN, Core Scientific and TeraWulf each saw production fall by more than 50%.
- Bitfarms' production declined 49%.
- Cipher posted the smallest drop, at 18%.
Over the same period, those companies have announced more than $50 billion worth of AI and HPC leases. IREN holds a $9.7 billion contract with Microsoft and expects its mining fleet to be effectively decommissioned by year-end. Core Scientific has leased large amounts of power to CoreWeave and AMD, while TeraWulf, Cipher and others have committed infrastructure to AI customers.
Hash Rate Recovers From Summer Trough
Despite the production declines, network data points the other way. The hash rate fell more than 18% from its November 2025 peak to under 900 EH/s on August 6 — its deepest drawdown since the 2021 Chinese mining ban — before rebounding 11.7% in the following months. More than half of that recovery occurred during the first three weeks of October.
CryptoQuant attributed the rebound to the fungible nature of hash rate. While an estimated 35 EH/s or more is leaving with the AI-transitioning companies, the overall network has added 105 EH/s since the August low. New-generation machines run by private miners, sovereign-backed operations and non-US companies are replacing the retired capacity.
Miners Staying in Bitcoin Regain Ground
Companies that remained focused on bitcoin mining have also helped offset the losses. MARA, CleanSpark, Riot, HIVE and American Bitcoin increased combined output by 16% year-over-year, according to the report.
Conditions for operators have improved alongside the bitcoin price, which has recovered from under $60,000 to over $80,000. Miner revenues have rebounded sharply and extreme outflows have disappeared, reducing the pressure on operators to sell BTC simply to cover expenses.
