July 2, 2022

Bitcoin Mining Hashrate Triples In Two Months, Difficulty To Rise 12% Soon

2 min read

On-chain information reveals Bitcoin mining hashrate has actually trippled in the previous two months. Miners can anticipate the trouble to rise 12% quickly.

Bitcoin Mining Hashrate Is Now 152B GH/s

As mentioned by a CryptoQuant post, the mining hashrate of the cryptocurrency continues to recuperate from the crash. Currently, the metric’s value stands around 152B GH/s.

Considering that Bitcoin uses the Proof-of-Work (PoW) system to reach consensus, validating nodes need a great deal of computing power to take part in the network. The mining hashrate shows the total quantity of this computing power present in the entire BTC network.

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The sign assists assess the strength of the network. More the worth of the metric, higher the security, and therefore more difficult it is for there to be a possibility of malicious attacks.

Now, here is a chart showing the trend in the worth of Bitcoin mining hashrate over the past year:

Bitcoin Mining Hashrate

 The BTC mining hashrate slowly recovers|Source: CryptoQuant As the above graph shows, the Bitcoin mining hashrate collapsed during June of this year, and hit a low of 52B GH/s towards completion of the month. Ever since, the indicator has actually been on the course to healing, and now it has actually hit 152B GH/s, almost triple the value of the plunge.

The Reason Behind The Crash And Why US Miners Benefited From It

China's crackdowns on Bitcoin mining earlier in the year are the factor behind the crash in the network hashrate. The nation required its miners to shutdown operations, and considering that a big part of the global hashrate resided in the country, the results on the network were extensive.

Because mining difficulty is directly correlated with the amount of calculating power in the network, its value dropped after Chinese miners needed to take their farms somewhere else

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This indicated that while these miners were migrating to other countries, miners already present in countries like the US had the ability to rake in bigger earnings thanks to the lower problem.

Now that the migration is practically total, difficulty has actually likewise been slowly increasing. The next increase in the difficulty should be about 12%, and it will be around in a day from now.

At the time of writing, Bitcoin's cost drifts around $48.5 k, up 4% in the last 7 days. Over the previous month, the cryptocurrency's worth has actually increased by 42%.

The listed below chart reveals the patterns in BTC's rate over the last 3 months:

Bitcoin Price Chart

 Bitcoin's price rapidly falls down after a touch of the $50k cost mark|Source: BTCUSD on TradingView
Included image from Unsplash.com, charts from CryptoQuant.com, TradingView.com