Bitcoin miners have taken the 7-day average Hashrate to a new all-time high (ATH), despite the fact that the token’s price has been down recently.
When the value of the metric rises, it means new miners are joining the network and/or existing ones are expanding their facilities. Such a trend implies BTC mining is looking lucrative to this group.
On the other hand, the indicator observing a decline suggests some of the miners have decided to disconnect their machines from the blockchain, a potential sign that profitability is going down.
As displayed in the above graph, the 7-day average Bitcoin Hashrate fell to a low of 889 exahashes per second (EH/s) on August 3rd, but since then, the metric has seen a sharp jump that has taken its value to 952.5 EH/s. The low in the metric coincided with the price plunge to $112,000 for the asset. This trend wasn’t anything unusual, as miner revenue is correlated to the cryptocurrency’s value.
Interestingly, the rebound in the Hashrate to the new ATH has come despite the fact that Bitcoin has been unable to make a recovery from its earlier price plunge. Miners sometimes expand in anticipation of future action, so the new power that has just come into the network could be a sign that miners are hoping bullish winds will return for BTC. Only time will tell, though, whether this bet will work out.
The “Difficulty” is a feature on the BTC blockchain that controls how hard miners would find it to perform their duty. It exists to limit how fast miners can solve blocks and earn the block reward.
At the time of writing, Bitcoin is trading around $116,300, up more than 2% over the last 24 hours.
