In the latest adjustment on Saturday, July 17, has dropped by another ~5% in its fourth consecutive drop. The previous adjustment saw the highest drop in percentage terms dropping 28% a fortnight back. With the latest drop, the Bitcoin mining difficulty has had a new low since January 2020.
This drop comes as a lot of Chinese miners have been leaving the Bitcoin network over the last few weeks. Fewer people mining the Bitcoin blocks means fewer blocks getting added to the BTC blockchain. As per the data, the current mining interval is 10 minutes.
Interestingly, the drop in Bitcoin mining difficulty also means that a lot more cash is going to Bitcoin miners who remain online. Speaking to CNBC during the last difficulty adjustment, bitcoin mining engineer Brandon Arvanaghi told the publication.
“This will be a revenue party for miners. They suddenly own a meaningfully larger piece of the pie, meaning they earn more bitcoin every day.”
Bitcoin Hashrate Picks Up
On the other hand, the Bitcoin hashrate has once again picked up after falling under 90m TH/s a fortnight back. From the lowest levels on July 3, the bitcoin hashrate has 100m TH/s as of press time.
It shows that part of the mining machines migrated over the last few weeks from China to overseas are coming online once again. Governments from across North America and Europe are wooing miners with strong incentives and the crypto mining industry takes a turn towards adopting green and sustainable energy solutions.
But Bitcoin price has been reeling under pressure over the last week, especially after its fall under $33,000. At press time, BTC is training at $31,827 with a market cap of $598 billion. The indicator to watch for is the Bitcoin address activity which has been on a steep fall over the last few weeks.
All eyes are on #Bitcoin & its current market health this weekend. We have seen a steep drop-off in the unique amount of addresses interacting on the $BTC network ever since mid-May’s market correction. An uptick in them can rapidly forewarn a turnaround. https://t.co/v3zFmdteRX pic.twitter.com/VBUqCjHGeL
— Santiment (@santimentfeed) July 17, 2021