August Markting Bitcoin’s Worst Performance
The biggest cryptocurrency, Bitcoin, or BTC, is still struggling, and new situations are being experienced in the market. While investors worried that the price adjustment would wipe away their reserves, BTC miners may have found another way to weather this dip. Since 2015, August had Bitcoin’s worst performance, with the monthly candle closing down 14%. In reality, at the time of publication, BTC was trading at roughly $19.9k, below the $20k threshold.
Numerous researchers have identified negative signals after the free collapse to warn Bitcoin supporters. For example, Crypto Tony cautioned that the Bitcoin market was poised for more losses in the future. On September 1, the renowned trader added in a tweet
The Rising Hashrate
Naturally, the above-mentioned decline also resulted in significant liquidations on the BTC spot market. This indicates that traders started liquidating their stock. However, not everyone used the same strategy. Surprisingly, despite the fact that mining difficulty had significantly increased, miners continued to pursue Bitcoin. At a block height of 751,968, BTC introduced a change in the mining difficulty, which resulted in a large rise of 9.26%.
This will be the greatest upward difficulty adjustment since January of this year, according to statistics. The mining difficulty was also 9.26% higher on this day compared to 18 August, when it was 28.35 trillion. How challenging it is for a miner to confirm transactions, collect them into a block, and add the block to the blockchain is determined by mining difficulty.
The difficulty will decrease if there are few miners, however, it will grow as there are more miners. So, the increase indicates the level of demand. The amount of computational power required for the mining process, or the hashrate rose at the same time, rising from 202.76 EH/s to 224.25 EH/s over the same time frame.
Source: https://www.thecoinrepublic.com/2022/09/03/the-bitcoin-hashrate-difficulty-on-the-rise-as-the-miners-increases/