Bitcoin network’s mining hashrate has started to recover, seeing a continuous flow of over 110 THs over the past month. The network hashrate took a massive hit in May and June when the Chinese crypto crackdown was at its peak. However, now that miners from China have started to mine again outside the country, the network hashrate is back to normal and expected to rise further.
The rise in hashrate has also helped Bitcoin miners increase their mining revenue, as the total revenue generated in July rose to $971 million, seeing a near 16% increase from the last month when miners generated total revenue of $893 million.
Ether miners also saw an increase of 6.67% in mining revenue growing from $1.11 billion in June to $1.31 billion in July, while the handling fees accounted for 18.32%.
The Chinese crackdown in May forced some of the biggest crypto mining farm operators in the country to either relocate or completely shut off operations. As China was responsible for more than 50% of the mining hash power, the Bitcoin network’s hashrate nose-dived and also saw the biggest mining difficulty adjustment in a decade.
Bitcoin Sees First Increase in Mining Difficulty in Two Months
The Bitcoin network’s hashrate recovery also saw the first increase in Bitcoin mining difficulty after nearly two months. The mining difficulty is adjusted every two weeks to keep the block generation time of 10 minutes. On July 31, the BTC network saw an increase of 6% at block height 693,504.
The 6% increase in mining difficulty comes after eight consecutive weeks of decline. Bitcoin mining difficulty has plunged by 54% from the top in the past two months. A decline in mining difficulty makes it easier for miners to find the next block and earn rewards.
After two long months of bearish sentiments dominating the crypto market, bears have started to take charge again. Bitcoin has conquered finally managed to conquer $40K levels now looks set to begin the next leg of the bull run. Similarly, Ethereum (ETH) also looks set to begin the next leg of the bull run as it moved past the $2,500 price.