- The rise in difficulty propelled a hike in daily miners’ revenue
A lot of miners cashed out their BTC, suggesting the coin’s price might fall
As a researcher with experience in cryptocurrency and blockchain analysis, I’ve been closely monitoring the recent developments on the Bitcoin network. The significant rise in mining difficulty and hash rate has caught my attention, as these metrics can have a notable impact on the price of BTC.
Based on data from Glassnode’s on-chain analysis, the mining difficulty for Bitcoin (BTC) experienced a substantial increase since its low points on May 22nd. The Bitcoin mining difficulty refers to how complex and resource-intensive it has become to discover the correct hash for each block in the Bitcoin network.
The challenge level of mining Bitcoin doesn’t directly impact its market worth. Yet, it influences how scarce and valuable we perceive Bitcoin to be. A rise in mining difficulty signifies a significant surge in computational power. Consequently, blocks might not get solved any faster, leading to longer block times, which could reach up to 10 minutes.
From a pricing standpoint, a rise in this indicator may be indicative of a bullish trend. This is due to the fact that higher prices can draw miners to process more transactions within the network.
As an analyst, I’ve observed that while mining difficulty surged on the network, so did Bitcoin’s hash rate. It didn’t lag behind; instead, it mirrored the trend.
As the difficulty rises, so does revenue
A high hash rate for Bitcoin signifies a robust and secure network, providing investors with confidence that their long-term investment in BTC may yield profits. This reassurance holds true solely during bull market conditions.
Instead of an assist, I’d rephrase as follows: While a significant drop in hash rate signals potential shifts or hazards for the network, mining activities may become unprofitable for miners under such circumstances.
It came as no surprise that the increase in mining difficulty and hash rate led to a change in miners’ earnings. According to current data, their income stood at approximately 558.057 BTC.
As a crypto investor, I’ve noticed an increase in the confirmation of new transactions on the block compared to what I observed on May 21st.
Not everyone is HODLing
The cryptocurrency analysis platform, AMBCrypto, examined the Miner Net Position Change with a current value of approximately -2.748.69 Bitcoins at the present moment. This metric measures the variation in the quantity of Bitcoin stored in miners’ wallets over the past 30 days.
When this metric is positive, it signifies that miners are acquiring more coins. Nevertheless, the current downward trend observed over the past two weeks implies that miners have been selling off their coins.
The complexity of Bitcoin mining may increase, making it harder to mine new coins. This potential development could lead to further price drops for the cryptocurrency.
As of the current moment, Bitcoin was priced at $68,291, representing a minimal increase of less than 1% in the past 24 hours following extended periods of fluctuation. It’s essential to monitor these price movements as Bitcoin investors may consider alternative avenues for cashing out in the near future.
BTC in circulation drops
As a researcher examining data from an on-chain perspective, I noted that, based on information from Santiment, approximately 747,000 unique Bitcoin addresses had been actively transacting over the past 24 hours.
As a researcher studying blockchain data, I’ve noticed a considerable increase in daily user activity since May 23rd. This is indicated by the rise in the number of Bitcoin transactions on the network.
At the current cost, an increase in demand may cause Bitcoin’s value to rise. Nevertheless, this single indicator doesn’t definitively predict Bitcoin’s future trend. Consequently, it’s essential to examine the coin’s circulating supply as well.
As a researcher observing the current market trends, I’ve noted that the daily coin circulation has decreased to approximately 33,000 units at this moment.
Is your portfolio green? Check the Bitcoin Profit Calculator
Given the recent rise in Bitcoin mining complexity and network activity, it’s likely that the cryptocurrency’s price will go up in the intermediate term. As for specific price targets, there is a possibility of Bitcoin reaching $73,000 again.
Read More
- DOP PREDICTION. DOP cryptocurrency
- Top gainers and losers
- LDO PREDICTION. LDO cryptocurrency
- JASMY PREDICTION. JASMY cryptocurrency
- MOCHI PREDICTION. MOCHI cryptocurrency
- SILLY PREDICTION. SILLY cryptocurrency
- STOG PREDICTION. STOG cryptocurrency
- KAI PREDICTION. KAI cryptocurrency
- EUR JPY PREDICTION
- COTI PREDICTION. COTI cryptocurrency
2024-05-25 09:11