Bitcoin price plummets while miner hash rate soars to all-time highs

Bitcoin miners can’t stop, won’t stop. The Bitcoin (BTC) hash complaint continues to surge to caller all-time highs, contempt a dense terms drawdown. 

The Bitcoin mining hash complaint peaked astatine 258 exahashes per 2nd (EH/s) connected Oct. 4, according to Braiins Insights, a mining information tools and metrics company. Although the Bitcoin terms is down 58% year-to-date against the dollar, the mining hash complaint is up 43%.

The past 3 months Hashrate. Source: Braiins. 

Bitcoin Gandalf from the selling squad astatine Braiins told Cointelegraph that "The hash complaint hitting different all-time precocious shows that miners are bullish astir the aboriginal prospects of Bitcoin.” Nonetheless, the current macroeconomic environment could airs an contented arsenic “the contiguous isn't truthful rosy for Bitcoin miners,” Gandalf said, adding:

“Bitcoin continues to commercialized successful this choky set betwixt $19,000–$20,000 and this caller summation successful hash complaint volition effect successful a crisp upward accommodation successful mining trouble meaning that miner margins volition beryllium further squeezed."

In a bid of tweets, mining engineers and hobbyists shared their thoughts regarding the hash complaint hitting all-time highs portion the terms remains low. Rob W, of Bitcoin mining institution Upstream Data summed up the sentiment: 

I'm truly arrogant of each of my mining friends, things are going great. pic.twitter.com/dIzh2ITTfq

— Rob W. (@BikesandBitcoin) October 3, 2022

Market expert Zack Voell explained that the surging hash complaint could beryllium arsenic a effect of “XPs coming online.” The S19 XP Antminer is the latest exemplary from Bitmain, 1 of world’s astir fashionable Bitcoin mining hardware suppliers.

The fig of hashes produced successful a 2nd is commonly referred to arsenic the “hash rate”. In Bitcoin speak, hash complaint is simply a captious information metric arsenic good arsenic 1 that galore miners support their eyes on.

In elemental terms, the much hashing — oregon computing powerfulness — that the web churns out, the greater the wide information of Bitcoin. As a result, Bitcoin is much resistant to attack, the astir communal of which is known arsenic a 51% attack.

Currently, much and much miners are coming online to effort to lick valid blocks to person the Bitcoin artifact reward which is presently 6.25 BTC, astir $120,000. Blocks are solved and added to the Bitcoin blockchain connected mean each 10 minutes.

Related: Nuclear and state fastest increasing vigor sources for Bitcoin mining: Data

The hard accommodation determines the complaint astatine which blocks are solved. It fluctuates astir each 2 weeks and is expected to summation connected Oct. 10 based connected the surging hash rate. The trouble accommodation has been connected a dependable march upward successful 2022 — meaning blocks are connected mean getting harder to lick — aft falling for the archetypal clip successful March 2022.

In sum, contempt the information that the Bitcoin terms continues to wallow nether $20,000, much and much miners find worth successful supporting the network. James Check, an analyst astatine Glassnode, explained successful a tweet, “With hash complaint pushing to caller all-time-highs erstwhile again, contempt each the promises to the contrary, it appears that #Bitcoin is inactive not dead.”