Historic Rise in Mining Difficulty
Bitcoin mining difficulty has surged by 6.2%, breaking the 100 trillion mark for the first time and reaching an all-time high of 101.7 trillion at block height 868,896. This increase follows the network’s record seven-day average hash rate, which exceeded 750 exahashes per second (EH/s) last week.Understanding Mining Difficulty Adjustments
Mining difficulty is a metric that adjusts approximately every two weeks to maintain a 10-minute block discovery rate, balancing network participation. The current jump reflects a competitive mining environment, requiring greater computational power. This increase typically signals heightened miner activity as operators upgrade equipment and expand their capacity to maintain profitability.Post-Halving Dynamics
The latest adjustment comes after Bitcoin’s fourth halving in April 2024, which reduced block rewards from 6.25 BTC to 3.125 BTC. This halving led to a revenue decline for miners, prompting some to exit the market. However, major players are ramping up operations to capitalize on the growing network activity despite lower hash prices.
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