As BTC's Hashrate Climbs Higher, Bitcoin Mining Difficulty Nears All-Time High – Mining Bitcoin News

Over the past 90 days, Bitcoin's hashrate has climbed higher and is slowly approaching the all-time high (ATH) that the network recorded six months ago in May. The accelerated hashrate has caused the network difficulty to increase, as Bitcoin's mining difficulty has adjusted upwards nine times in a row so far and is approaching the network difficulty ATH recorded six months ago.

Bitcoin's mining difficulty nears lifetime high

Bitcoin's mining difficulty is nearing its all-time high as of May 13, 2021. The network's difficulty is basically a mechanism that Satoshi Nakamoto added to maintain a constant rate of almost ten minute blocks. In addition, the difficulty also makes the entire system stronger in terms of security, as a 51% attack is much more expensive and much more difficult to achieve.

If the hashrate changes every two weeks, the network takes the change into account, and if the hashrate increases the difficulty of Bitcoin mining ( BTC ) also increases. If the hashrate experiences a sudden drop, like the end of June and in the month of July about the Bitcoin mining crackdown in China, the level of difficulty also becomes lower. When BTC ’s hashrate dropped this year, the network’s mining difficulty dropped by 39.8% at various intervals.

The difficulty level must increase by more than 10% to reach a new record high

The difficulty ATH on May 13, 2021 was approximately 25.05 trillion and two weeks later it was reduced to 21.05 trillion. After July 3rd BTC ’s mining difficulty slipped to a low of 13.6 trillion after undergoing the largest downward difficulty adjustment in the network’s lifetime. This massive downward decline was approximately 27.94% at block height 689,472. Today, BTC ’s mining difficulty is 22.67 trillion and is terribly approaching its 25.05 trillion ATH.

The end result is Bitcoin ( BTC ) will be more difficult to reduce in a short period of time than it was six months ago. The mining difficulty needs to increase by 10.27% from the current position to surpass the record high set on May 13th. At current SHA256 profitability rates, the chances of BTC ATH's mining difficulty is increasing enough to surpass the difficulty recorded by ATH six months ago, which is much greater. ASIC Bitcoin mining rigs like the Microbt Whatsminer M30S++, Ipollos B2 and Bitmain Antminer S19 Pro still earn over $25 per day and pay $0.12 per kilowatt hour (kWh) in electricity costs.

What do you think about Bitcoin's network difficulty approaching the all-time high recorded in May? Let us know your thoughts on this topic in the comments below.

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