Bitcoin (BTC) mining is becoming one of the toughest businesses in crypto in 2026, according to analysts from Luxor Technology’s Hashrate Index. The industry is being squeezed by multiple pressures, including increased competition from the rise of artificial intelligence infrastructure and hyperscale data centers, and increased uncertainty over the long-term sustainability of mining business models. The analysis suggests that the ongoing war involving the United States, Israel, and Iran, particularly disruptions to oil flows through the Strait of Hormuz, could put pressure on miners primarily through Bitcoin’S price volatility rather than rising power costs. The research also revealed that WTI crude oil prices surged from roughly $65 per barrel to above $100 before easing to about $90 following the disruption. However, this volatility also led to increased trading activity in decentralized derivatives markets. Most mining operations operate on non-fossil energy sources, with over 90% of global hashrate operating in electricity markets where power prices have minimal correlation with crude oil.