Bitcoin Hashrate hits 400 EH/s as miners take advantage of the bull market
Bitcoin’s hashrate continued its recent ascent, reaching dramatic new highs. The leading digital asset by market capitalization has seen a major bull run, sparking positive sentiment. This led to more miners connecting to the Bitcoin network and a new all-time high of 400 EH/s in the past 48 hours.
Bitcoin Hash Rate Reaches New High
The Bitcoin hashrate has steadily increased since the start of the year. Earlier in the week, the network added a hashrate of 40 PE/s reaching a peak of 350 PE/s. However, a few hours after the mining difficulty was adjusted on March 23, the hashrate reached astronomical levels. Between March 23 and March 24, the bitcoin hashrate hit a new high of 400 PE/s, according to data from Mempool.
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This development indicates two things: network security has increased and miners are confident in the profitability of Bitcoin in the long term. Miners who have been an integral part of the network since its inception have continued to increase their support for the major coin due to the recent rally.
Additionally, the bitcoin mining difficulty has reached an all-time high and now stands at 46.84T. This represents a 7.5% increase from its previous levels, which correlates to the gradual increase in hashrate over this period.
Why is the hash rate increasing?
The increase in hashrate difficulty is largely due to the rising price of BTC, which has attracted miners to the Bitcoin network. BTC has seen an increase of more than 50% in 2023 reaching a peak of $28,000 earlier in the week.
This price spike has encouraged miners to connect their mining equipment to the network. It should be noted that several miners left the Bitcoin network following the prolonged bear market in 2022.
With the market recovery, mining profitability has increased, although it is still far from the ideal mark. Nevertheless, this suggests that miners are starting to earn money from the network again. One of the main indicators of this is the 20% increase in the price of hash over the past week.
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The hash price is a measure that indicates the average price that a mining equipment realizes daily on the bitcoin network. Currently, the hash price is around $0.077/TH/day, according to data from hashrate index. This could drop in the coming days, as higher mining difficulty means tougher competition for mining rewards on the Bitcoin network.
With more power coming from miners’ computing machines, the hash rate continued to climb. This in turn helps strengthen the bitcoin network, an overall win for the asset.
bitcoin price
At the time of writing, Bitcoin has experienced a market correction and is trading at T$27,455. The current market perception is that we are in a bull market, and Bitcoin could hit $30,000 in the coming weeks.
Note: Content is educational and should not be considered investment advice. Featured image from Unsplash, charts from Mempool, trading view.