Bitcoin lost almost 71% of its all-time high of $69,044 in November last year and was trading at $20,100 at the time of this writing, according to data from CoinGecko.
Here’s a quick look at Bitcoin’s hash rate:
- The new all-time high of BTC hashrate is 158 exhash per second
- The hash rate this year is 260 EH/s. don’t expect to cross
- Bitcoin loses almost 71% of its all-time high
But despite this massive price drop, bitcoin miners remain optimistic about the future of the top crypto as its hash rate hits a new high.
According to Brains Insights, a mining data tools and metrics company, the hash rate increased to 258 extracts per second (EH/s) on Oct. 4.
Source: Mysterious Research
This helped bring the overall security of the Bitcoin protocol to an all-time high of 158 exhashes per second, a 43% increase.
Bitcoin hashrate growth – good for crypto
Brain Insights’ Bitcoin Gandalf shared some thoughts on this recent development featuring the largest cryptocurrency by market cap.
A member of the marketing team said that this could be a sign that BTC miners are bullish and bullish about the future of the digital asset.
However, this can also pose a problem, especially as the crypto is caught in a tight trading range between the $19,000 and $20,000 levels.
Increasing the hash rate could result in adjustments to mining difficulty and “further reduce miner margins.”
Macroeconomics also plays a role as miners invest in mining infrastructure that takes months to be fully operational.
For example, some BTC miners for 2022 recently went online in July and boosted the current global hash rate.
Meanwhile, bitcoin price struggled to gain momentum and slipped more than once, raising doubts about the ROI for BTC mining investors.
The only way to hashrate is up
According to Arcane Research, 8.1 exhash/second of BTC mining capacity was added to the global rate by the top 10 public miners in August this year.
As impressive as it already sounds, expect that number to improve and increase as these companies anticipate shipments for additional mining infrastructure later this year.
However, it is important to note that even with that, the hash rate is unlikely to exceed 260 EH/s in 2022.
Block production is also affected by this apparent jump as it hits 6.45 blocks per hour. This is of concern as it could lead to increased mining difficulties on the Bitcoin network, Arkane said.
A market analyst, Zack Voel, pointed out this development, saying that the impressive increase in hash rate could be due to the S19 XP Antminers coming online.
XPs are the latest offering from Bitmain, a popular Bitcoin mining hardware provider.
The BTCUSD pair is still holding the $20,000 level, trading at $20,106 on the daily chart. Source: TradingView.com Featured image from Liquid Blog, chart: TradingView.com