Bitcoin Network Hashrate Enjoying a High Even in Market Corrections
The Bitcoin (BTC) networks Hashrate has been on the climb today 2nd May. Therefore, the continuous Hashrate growth in the last few months is a signal of the increase in the miners’ interest level. This is despite the fact that Bitcoin has not been able to break the $10,000 price level after the February market crash.
Just after the BTC price reached $20,000 last year December, the market started to drop from the start of this year. In February, bitcoin dropped below the $6,000 price level. However, even though the market has slightly recovered with the current Bitcoin price being $9,144 and increase of up to 3% in a 24 hour period, the price still trades below 50% of the price level which it reached in December.
Therefore, the rising Hashrate which was recorded lastly on May 1 as 31,590 PH/sec, means that the miners are still continuing to mine Bitcoin eve after the price fluctuated. Therefore, this means that there has been an increase in competition between the major miners and also the network security improvement.
In the mid-march, tom Lee of the Fundstrat’s organization made reports that Bitcoin mining was going to lose profitability and also less popular especially in the times it experienced a sharp decline.
Bitcoin cash (BCH) has also been experiencing a stagnating hashrate. BCH, therefore, is considered a fork of the Bitcoin Blockchain which then advertised a cheaper and faster alternative due to the large block size of the crypto. Additionally, in February, the BTC fees were low at some instance as compared to those of BCH.
The CEO and founder of ShapeShift.io Erick T Voorhees updated a tweet last month which was in regard to the BTC highest accumulated work proof which is a characteristic which is highly dependent on the Hashrate of the network. This is as compared to BCH.
Last year August, BTC Hashrate dropped by around 50% which was from 8,000 to 4,000 petahash per second in just four days. This move, therefore, attracted high block rewards for the BCH mining.