Hashrate Nears All-Time High
The total computing power used by Bitcoin miners has climbed to near-record levels, a sign of increased network security. This “hashrate” is crucial for preventing malicious attacks on the blockchain.
Difficulty Adjustment
As the hashrate rises, the Bitcoin network automatically adjusts its difficulty to maintain a steady block production rate. This ensures that miners continue to compete for block rewards, even with increased computing power.
Competition and Margins
The increased hashrate intensifies competition among miners, reducing individual margins. To maintain profitability, miners must also increase their hashrate to keep pace with the network.
Current Status
As of now, Bitcoin’s hashrate is near its all-time high, and the difficulty has increased by 4%. Bitcoin’s price is currently around $69,700, up 3% in the past week.
