According to Luxor Technology’s HashRateIndex on May 29, Bitcoin's seven-day hashrate reached an unprecedented 659 exahashes per second (EH/s), marking a notable 13.6% increase from its post-halving low of 580 EH/s.
Additionally, Bitinfocharts reported that the average network hashrate hit a record-breaking 732 EH/s over the weekend. This surge in network power implies added challenges for Bitcoin miners, as each block becomes increasingly difficult and competitive to mine. However, on a positive note, high hashrates contribute to enhanced network security for the Bitcoin blockchain.
The Competition for Bitcoin Mining Gets Intense
According to HashRateIndex, the surge in hashrate may be a sign that open-source Bitcoin miners are starting their ASIC orders on time. This indicates that more capable hardware is being turned on, which will increase competitiveness as more hash power becomes available.
It stated that the current average block duration is an impressive nine minutes and twenty-six seconds. The top public miners have placed orders for equipment valued at 76.6 EH/s for delivery in 2024. Furthermore, according to HashRateIndex, 12.9 EH/s of that should have been provided in Q1 and roughly 36 EH/s in Q2. It further added:
"The current hashrate surge—regardless of its source—will force miners to adjust to a significant increase in difficulty in about eight days."
The difficulty adjustment is predicted by the platform to be +5.97%. The network's miners compete with one another based on difficulty. It dropped from an all-time high of 88.1T earlier this month to 84.38T at the moment. More upward adjustment will result in greater suffering for the miners.
It went on, "The next adjustment will probably drive hashprice back below $50/PH/Day if Bitcoin's price stays steady."
Slumps in Hashprice
The hashprice has decreased 46% from the start of the year to just $53 per petahash per second every day.
Hashprices have fallen 87% as mining revenues decline due to rising competition, rising energy and hardware costs, and network hashrates. During the top of the cryptocurrency market cycle in 2021, hashprices spiked to $400/PH/s/day.
May 2024, Cryptoniteuae