Saturday, November 23, 2024

Record-Breaking Bitcoin Mining Difficulty Coincides with Surge in BTC Miner Selling

Record-Breaking Bitcoin Mining Difficulty Coincides with Surge in BTC Miner Selling

Exchanges have been inundated with an overwhelming influx of Bitcoin miners in the past few weeks, as the network’s difficulty metric reached an unprecedented peak. A staggering 53.91 trillion units now represent the immense challenge of mining Bitcoin blocks, marking a significant milestone on July 12. The sheer volume of BTC flooding these exchanges adds to this remarkable occurrence. For more information you can click here .

Every two weeks, the blockchain intelligently modifies its difficulty to uphold the target processing time of roughly 10 minutes. With the network’s increasing computational strength, the difficulty level rises to present a tough obstacle for miners, reducing the profit potential for each individual involved in the procedure. As a result, this recent adjustment heightens the strain on miners, who have been steadily selling their mined BTC since June.  The blockchain’s dynamic nature is seen from the way it modifies its difficulty every two weeks to maintain a constant processing time of ten minutes. The system adapts as network processing power grows, making mining harder and less profitable for individual miners while preserving the network’s stability and security.

Insightful experts speculate that the absence of miners accumulating bitcoins has probably hindered the potential upward surge in BTC’s price. Following the recent adjustment in difficulty, it is anticipated that medium- and small-scale miners will experience a significant drop in profitability, causing them to deactivate certain ASIC hardware temporarily. The expected surrender of less powerful miners might, though, act as a trigger for bigger miners to seize the chance and amass Bitcoin, thus potentially easing the existing pressure from mining-related sales.

Miners Under Pressure as Bitcoin’s Difficulty Hits Unprecedented Heights 

Bitcoin has attained an amazing milestone this year by raising its difficulty by 3.22% to a record 49.55 trillion. The difficulty is a measure which gauges the level of difficulty in discovering a hash value which meets the requirements for adding a brand-new block on the Bitcoin blockchain. Surprisingly, this increased difficulty comes after a slight 1.45% dip at block height 788,256, where the difficulty stayed at 48.01 trillion for around 2 weeks.

Bitcoin miners are presently adding an astonishing 363.84 exahash per second (EH/s) to the Bitcoin blockchain. The latest increase of 3.22% occurred at block height 790,272, and it is anticipated that the next change in difficulty will occur around May 31, 2023. Recent information shows that block durations are slightly surpassing the customary ten-minute average. More specifically, on May 18, at 7:30 p.m. In the realm of Eastern Time, the time intervals were observed to vary between ten minutes and 12 seconds to a slightly longer span of ten minutes and 33 seconds.

Foundry USA dominates bitcoin mining with hashrate

During the last three days, Foundry USA has emerged as the frontrunner in Bitcoin mining, flexing its impressive hashrate of approximately 109.04 EH/s. This remarkable figure represents about 30.02% of the Bitcoin network’s overall hashrate within that specific timeframe. Coming in second is Antpool, boasting a substantial hashrate of 77.77 EH/s, closely followed by F2pool at 54.52 EH/s and Viabtc at 40.89 EH/s. Binance Pool, ranking fifth in terms of hashrate, currently holds a substantial hashrate of approximately 27.26 EH/s.

Despite the increasing problems presented by escalating difficulty, Bitcoin miners have demonstrated resilience by dedicating substantial computational power to the network. Though BTC prices now remain below the USD 27,000 mark, they’ve nonetheless experienced a notable surge from their value of USD 16,500 recorded on December 31, 2022. Moreover, together with the all-time high (ATH) difficulty observed on May 18, the network’s hashrate attained an amazing ATH on May 2. The hashrate hit a record high of 491.15 exaHash per second (EH / s) at block height 787,895, indicating the miner’s steady commitment to the network’s security and stability.