Analysts: Bitcoin Mining Industry May Face Major Shuffle as Energy Costs Soar

Due to geopolitical tensions, energy costs such as oil, gas and electricity have skyrocketed, which cryptocurrency analysts believe could lead to a major reshuffle within the bitcoin mining industry.

Bitcoin mining is an energy-intensive industry that consumes a lot of electricity as well as uses specialized computers to mine bitcoins, making energy costs one of the most important factors in determining miners' profits.

Josh Olszewicz, head of research at crypto-asset investment firm Valkyrie Funds, said the least efficient bitcoin miners will take a hit and won't be able to make as much profit as they did before if electricity costs continue to rise.