While the bitcoin price is going through another sharp correction in the past 24 hours, the strength of the bitcoin network continues to increase.
Bitcoin’s hash rate recently hit a new all-time high.
Mining difficulty went through a positive adjustment of 9%, resulting in a special peak.
Hash rate and mining difficulty reach record level:
In the summer of 2021, the Chinese authorities kicked out Bitcoin miners, and the hash rate fell by 60% in a matter of weeks, after which the scale gradually recovered.
Continuous adjustment brought it close to, and eventually surpassed, the previous peak.
The hash rate is the critical metric that shows the resilience of the Bitcoin network. It also continues to hit new highs repeatedly, with the latest being over 210 Ehash/s, according toBitInfoCharts.
The increasing hash rate means that there are more miners using their computing devices to work on the world’s largest blockchain.
While this sounds good on paper, in reality it was able to harm the profits of the miners as it would have made it difficult for them to eventually earn the reward.
Bitcoin founder Satoshi Nakamoto predicted a similar possible scenario when building the network and incorporating a feature called mining difficulty adjustment.
Essentially, this feature makes it more difficult or easier for miners to do their job depending on how many people are currently online.
The network is reset every 2016 blocks (about 2 weeks).
Positive adjustments mean that the number of miners has gone up and up, and vice versa.
For example, after the Chinese ban, the network experienced severe delays as there were fewer miners, and had to passively adjust itself several times in a row.
Now, though, the scene is quite different.
In the past 14 adjustments, there was only one negative adjustment (-1.5%) on November 28.
Another positive adjustment, which happened hours ago, increased the difficulty by 9.32%, which actually led to a new all-time high for this metric.
But the price of Bitcoin is falling:
While all the core network features are working as they should, the price of the cryptocurrency is going in the opposite direction.
Bitcoin price plunged $5,000 in hours to a six-month low at just over $38,000.
After that, the price of Bitcoin fell further and reached the level of 34 thousand dollars, to re-rise above the level of 35 thousand dollars.
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