- Bitcoin network’s hashrate hits new peak at 734 EH/s, signaling increased security and miner confidence.
- Despite rising hashrate, hashprice drops to USD 47 per PH/s, affecting the profitability of mining operations.
The Bitcoin network’s hashrate has recently achieved a new all-time high, reaching 734 EH/s, signaling robust health and confidence in the network. This key security metric reflects the total processing power that the network devotes to mining and processing transactions.
The increase in hashrate is attributed to the deployment of more powerful mining machines and the reconnection of older ones. These developments suggest that a big number of Bitcoin miners are investing in specialized hardware and energy to secure the network, as indicated by data from Hashrate Index.
However, despite the rise in hashrate, the hashprice, which is the compensation miners receive for each hash of computational power they contribute to the network, has seen a decline. This Tuesday, the hashprice fell to USD 47 per PH/s per day. This decoupling between the hashprice and the hashrate stems from the increased competition in Bitcoin mining, which adversely affects miners’ rewards.
A lower hashprice can impact the profitability of mining operations, though it does not always deter miners if they believe in the future value of Bitcoin (BTC). At the beginning of October, CryptoNews reported a third consecutive monthly decline in Bitcoin miner profitability. This drop in profitability was attributed to several factors, including a 9% increase in Bitcoin mining difficulty in September 2024 compared to August of the same year.
Currently, the difficulty of the Bitcoin network, which adjusts approximately every two weeks, stands at 95.6 T. This difficulty is projected to decrease by 9.13% on November 6, according to Hashrate Index data.
Difficulty adjustments ensure that blocks are added to the Bitcoin blockchain every 10 minutes on average, regardless of the total hashrate. A higher hashrate typically leads to an increase in difficulty, as more computational power necessitates more complex mathematical problems to maintain a constant block production rate.
This cycle of difficulty adjustments and the ever-increasing hashrate reflect the ongoing evolution and continuous improvement in mining technology. Each new advance in energy efficiency or hashing capacity allows the network to process more calculations with less energy consumption per hash, enhancing the overall efficiency and sustainability of Bitcoin mining operations.
As miners continue to upgrade and optimize their equipment, the Bitcoin network becomes increasingly robust, further securing its position as the leading cryptocurrency.
