Bitcoin’s hashrate (BTC) is back on the rise and has even tripled from its level at the end of June 2021. This hashrate could reach an all-time high in the next two months.
Hashrate recovery reassures Bitcoin
According to information reported by Coin Telegraph among others, Bitcoin’s hashrate has tripled since it hit its 2021 low of 52 Exahashes per second (EH/s) on June 28. It finally reached 152 EH/s on August 24, 2021. Bitcoin’s hashrate is gradually returning to early June 2021 levels, with a new ATH in sight in the next 2 months if the current trend continues.
Bitcoin’s average hashrate hit a record high at 197.6 EH/s on May 13, 2021, according to BitInfoCharts. It then dropped by more than 65% over the next 6 weeks, following the shutdown or forced relocation of mining operations in China as the country’s authorities decided to crack down on mining in the territory. The mining difficulty had recorded 4 consecutive downward adjustments by the end of the week of July 12, 2021.
The end of El Dorado for North American miners?
This drop in hashrate has greatly benefited North American miners, such as Marathon Digital, who have been able to continue mining BTC at lower prices. Marathon Digital, which has benefited from the disconnection of Chinese miners, will soon increase the power of its mining fleet through the acquisition of new supercomputers.
The restoration of the network’s hash rate could be interpreted as the end of the miner migration. An increase of about 7% in the difficulty of mining occurred on August 13, 2021. This difficulty is expected to continue to increase rapidly with the end of Iran’s temporary mining ban scheduled for September 2021, a restriction whose official purpose was to ensure the supply of electricity to the country’s population during the summer.
Bitcoin has survived the hunt for miners in China. North America seems to be a welcoming land for Bitcoin mining farms for the time being, while other countries, such as Ukraine or Spain, are tightening the screws to combat fraudulent operations.
