Bitcoin mining smashes market expectations with an unprecedented hashrate, defying fears and showcasing its robust power.
In a surprising turn of events, the 7-day Bitcoin mining hashrate has reached a new all-time high (ATH) of 381 EH/s, according to data from on-chain analytics firm Glassnode. This achievement comes at a time when the cryptocurrency market is riddled with fear, uncertainty, and doubt (FUD).
The mining hashrate serves as an indicator, measuring the total computing power connected to the Bitcoin blockchain by miners. When the value of this metric rises, it signifies that more machines are being brought online by miners. Such a trend suggests that mining on the blockchain remains attractive to these participants.
Conversely, low values of the indicator imply that some miners may be leaving the chain, possibly due to the decreased profitability of mining on the BTC network. The hashrate also provides insights into the security of the blockchain. Higher values indicate tighter network security, as a greater number of machines would need to be compromised for a 51% attack to occur. However, this assumes that the new hashrate added to the network remains decentralized.
Unwavering Confidence: Bitcoin Miners Expand Amidst Market Volatility
Analyzing the graph depicting the 7-day moving average (MA) Bitcoin mining hashrate, it becomes evident that the indicator has been on an upward trajectory for an extended period. However, the rise has been particularly steep in recent months.
This rapid growth is not unexpected, considering the rally in Bitcoin’s price. Miners rely on the USD value of their rewards to cover their expenses, so an increase in price directly translates to higher revenues for them.
During such periods, the largest mining operations often expand their facilities to capitalize on the increased profitability, leading to a surge in the mining hashrate.
Remarkably, the metric has continued to rise in the past few weeks, despite Bitcoin experiencing a notable downturn. Additionally, the market has been exposed to fresh FUD, such as the SEC’s lawsuits against major exchanges Binance and Coinbase.
Evidently, these market uncertainties have not deterred miners from investing further in their facilities. It seems that they are taking a long-term perspective and remain unfazed by the current conditions. Following the recent surge, the 7-day mining hashrate has set a new ATH of 381 EH/s. BTC price stands at $25,800 with a 3% decline.