Bitcoin Mining Hashrate Registers Third Largest 3 Month Spike In Last 5 Years…
Bitcoin and the Bitcoin network look great and are performing like a well oiled machine…just as Satoshi designed it to…people recognize this and trust and belief in Bitcoin is only growing by the day.
Bitcoin Mining Hashrate Registers Third Largest 3-Month Spike In Last 5 Years
“According to this spike, the metric’s value has grown by about 52% in the last three months. This increase in the hashrate is the third-highest BTC blockchain has seen in the last five years.
The largest one within this period came during the aftermath of the 2018-2019 bear market when the April 2019 rally occurred. Many miners may find it unprofitable to mine the coin during bear markets. Hence the hashrate can significantly decrease as miners disconnect from the network.
When the rally in April 2019 took place right after the worst part of the bear market, miners suddenly found it very profitable to mine the asset again, so they reconnected their machines quickly, hence why the hashrate showed such a sharp jump.
The second largest 3-month upwards adjustment came when the bull run of the 2nd half of 2021 kicked off. Earlier that year, China had enforced a ban on Bitcoin mining in the country, which led to a mass migration of miners out of the country.
This migration can also be seen in the chart, as a large negative 3-month change in the hashrate occurred in May-July 2021. When miners finished their migration and set up their facilities again, the hashrate bounced back.
Now, the recent trend in the indicator is interesting. During the 2022 bear market, the hashrate only saw upwards growth, even though the price saw a deep drawdown.”