• Advertise
  • Submit a Press Release
NewsBTC
Bitcoin & cryptocurrency news
Crypto.com Logo
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play GamesTry
  • Bet & WinTry
No Result
View All Result
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play GamesTry
  • Bet & WinTry
No Result
View All Result
NewsBTC
No Result
View All Result
Hashrate, bandaids in an elbow
Nexo Logo

Bitcoin’s Hashrate On Its Way To Total Recovery, Maybe Even To An All-Time High

Eduardo Próspero by Eduardo Próspero
7 months ago
in Bitcoin
Reading Time: 4 mins read
Advertisement

Don’t call it a comeback. Bitcoin’s hashrate “is on track to make a full recovery sometime in the next couple of weeks,” according to a Kraken Intelligence report. Nearly five months ago, China banned Bitcoin mining in its territory. The network didn’t even blink. The difficulty adjustment fell and the remaining miners held down the fort. As the Bitcoin community says: tick-tock next block. 

The great migration of miners is almost complete. The Chinese mining companies had to shut down operations and move their equipment to friendlier countries. This was a record-breaking stress test, and the Bitcoin network passed it with flying colors. In fact, it seems to be healthier than ever. 

Bitcoin hashrate, 7 day moving average

5 BTC + 300 Free Spins for new players & 15 BTC + 35.000 Free Spins every month, only at mBitcasino. Play Now!
Bitcoin hashrate made a 98% recovery in five months| Source: Kraken Intelligence

Bitcoin’s Hashrate By The Numbers

Enough talk, let’s go to the hard data. According to Kraken Intelligence:

“As of the time of publication, the 7-day moving average of hashrate has climbed nearly +98% to 166.1 EH/s after falling to a near 2-year low of 84.1 EH/s on July 3rd. In other words, Bitcoin’s current hash power must rise another +8.9% to revisit all-time highs of 180.8 EH/s last seen in May 2021. On-chain data shows that computational power deployed to the network is likely to continue heading higher and might hit a new all-time high in early December.”

Related Reading | China Banned Bitcoin Mining. What Happens To Small Hydropower Stations Now?

It would be a mistake to bush off this show of resilience and trust in the network. The harshrate made a nearly 98% recovery and it’s a mere 8.9% from an all-time high. All of this in just five months? What an incredible feat! Bitcoin doesn’t care about anything that us mere mortals do, it just keeps pushing forward regardless. The difficulty adjustments provide another proof of that fact:

BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?
Get 110 USDT Futures Bonus for FREE!

“BTC’s appreciation resulted in increasingly more hash power deploying on the Bitcoin network and a record-breaking 9 consecutive positive difficulty adjustments for a total +65.8% increase in mining difficulty and a 5-month high of 22.7T.”

As the five months went by, the stranded Chinese miners reincorporated to the network from other locations. That, and new people recognized the opportunity that the China ban brought, and started a mining business. The results are in and they can’t be argued with. Bitcoin’s hashrate is back with a vengeance.

BTCUSD price chart for 11/29/2021 - TradingView

BTC price chart for 11/29/2021 on Coinbase | Source: BTC/USD on TradingView.com

What About Mining Revenue? 

Is it still profitable to mine Bitcoin? The answer will shock… no one.

“Miner revenue is near all-time highs as well and continues to rise. Since lows of $13.4M in late June, BTC’s daily miner revenue has rebounded to over $60M and is just below a record level of $76.5M set in April 2021.”

Boom! And that’s with the price stuck at the current levels. Some people think this cycle’s top is in. Others are even more courageous and already declared a bear market. Kraken Intelligence begs to differ. And to argue their point, they offer the Puell Multiple. What’s that?

“This on-chain metric assesses miner profitability and their incentive to sell or hold to better understand where BTC might move. The Puell Multiple is calculated by dividing the USD value of daily BTC miner revenue by the USD value of the 365-day moving average of daily miner revenue.”

Related Reading | Is This The Reason China Banned Bitcoin Mining? Carvalho’s Mind Blowing Theory

And, what does the Puell Multiple says about the current situation?

“A reading below 0.5 has historically signaled BTC hitting a macro or micro bottom and mining profitability falling to unsustainably low levels. On the other hand, a reading above 3 has typically signaled a prime opportunity for profit-taking – as a reading above 3 has historically coincided with a market cycle top. With the Puell Multiple currently at a reading of 1.33, one could argue that miners are operating profitably yet haven’t reached a level to signal a market top.”

Remember, no tool is infallible, and you shouldn’t consider financial advice anything you read on NewsBTC. The Puell Multiple is at 1.33, though. And the hashrate made a nearly 98% recovery and it’s a mere 8.9% from an all-time high.

Featured Image by Diana Polekhina on Unsplash - Charts by TradingView and Kraken
Tags: Bitcoin hashratechina banChina Mining BanHard datahash ratehashratehashrate all-time highKraken Intelligencepuell multipleThe great migration of miners
Tweet123Share196ShareSend
Win up to $1,000,000 in One Spin at CryptoSlots
Eduardo Próspero

Eduardo Próspero

Eduardo Prospero is an author, a content writer, and a professional rapper. A Bitcoin maximalist in disguise. Working on a Bitcoin book. Venezuelan. He wrote a novel, but it's only available in Spanish. It's called "La Tormenta."

Related Posts

Bitcoin network

Bitcoin Enters Hibernation Mode As Network Activity Lulls

2 mins ago
Fed Announces Inflation Warnings As Bitcoin Whales Remain In Wait Mode

Fed Announces Inflation Warnings As Bitcoin Whales Remain In Wait Mode

4 hours ago
Mining Operators Fret As Bitcoin Looses Ground, What Lies Ahead For The Mining Community

Mining Operators Fret As Bitcoin Looses Ground, What Lies Ahead For The Mining Community

4 hours ago
Bitcoin

Bitcoin Slides Under $20K – Another Collapse In The Offing?

5 hours ago
bitcoin performance

Bitcoin Records Worst Performance For June, Will It Get Better From Here?

18 hours ago
Bitcoin whale

Tracking Whales, What This Bitcoin Divergence Could Hint About BTC’s Price

21 hours ago

Premium Partners

Top Brokers

PrimeXBT

PrimeXBT

Review · Visit

Top Casinos

BitStarz

BitStarz

Review · Visit
7BitCasino

7BitCasino

Review · Visit
BC.Game

BC.Game

Review · Visit
Punt Casino

Punt Casino

Review · Visit
mBit

mBit

Review · Visit
CryptoGames

CryptoGames

Review · Visit
Bspin

Bspin

Review · Visit

Sportsbooks

1xBit

1xBit

Review · Visit
BC.Game

BC.Game

Review · Visit

Secure Your Finances With These Top DeFi Tokens: Gnox (GNOX), Solana (SOL), and Avalanche (AVAX)

June 30, 2022

XT.com Welcomes Cryptostone (CPS) to Its Growing Exchange

June 30, 2022

Crypto Crash: Bitcoin Falling Helplessly, Find Succour in These Two Coins

June 29, 2022

The Stock Market Crash Has Spurred Investors To Invest In Cryptocurrencies Like Mushe Token (XMU) and Quant (QNT)

June 29, 2022

TRON Breaks the 100 Million Users Mark, Celebrates Mainnet 4th Anniversary, and Announces Huge Hiring Push Amid Market Meltdown

June 29, 2022

ABOUT US

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

COMPANY

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

LINKS

Crypto Prices from Nomics

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

© 2021 NewsBTC. All Rights Reserved.

  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play Games
  • Bet & Win

© 2021 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.