Bitcoin mining difficulty on the road to recovery

  • Bitcoin’s mining difficulty has increased by 13%, signalling an uptick in network health since China’s crackdown.
    • China’s Bitcoin mining exodus slashed hash rates and BTC prices as miners were forced to look beyond Chinese borders for mining opportunities. In the time since, mining has become more decentralised, and the hash rate has rebounded some 25%.
    • Resets in mining difficulty typically occur every two weeks or so, with the latest (25/08/2021) being the network’s third consecutive increase.
    • Despite the increase in mining difficulty, experts still believe now is as good a time as ever for miners.
    • “Bitcoin mining has never been more profitable,” said Dave Perrill, CEO at crypto mining colocation company Compute North. “Look at the percentage of price run that bitcoin had over the last 12 months and look at the hash rate percentage increase, and it’s nowhere near in line.”

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