The Bitcoin mining hashrate and difficulty have been on a tear recently, continuing to notch new all-time highs. Both metrics have reached their highest levels as the BTC rally has resumed and the question now is if this will translate into setting a new all-time high for the price.
Bitcoin Mining Difficulty And Hashrate At ATHs
The month of October came with numerous increases for the Bitcoin network and the hashrate was not left out. Fierce competition among miners has seen more machines come online, increasing the total worldwide hashrate available for Bitcoin mining and by the end of October, the hashrate touched a new all-time high.
As data from CoinWarz shows, the Bitcoin hashrate climbed to a high of 555.94 EH/s on October 28 which was recorded at block height 814,200. This figure is a testament to the continuous support that the network enjoys even during bear periods.
Likewise, the mining difficulty also rose rapidly due to this competition. CoinWarz data shows that mining difficulty is at an all-time high of 62.46T, and with the next difficulty adjustment on the horizon, it is expected to jump to 64.62.
The rise in difficulty means it is harder for Bitcoin miners to solve blocks and claim the block rewards. So miners will have to bring new machines online to increase their chances of solving blocks, which leads to a rise in the hashrate. A rise in the hashrate increases the competition, leading to a rise in difficulty, and the cycle continues.
Will BTC Price Follow The ATH Trend?
So far, Bitcoin has done a good job of moving up as the hashrate and difficulty have gone up. The cryptocurrency has been able to hit new highs for 2023 and continues to show bullish tendencies despite a recent drawdown.
Developments such as Michael Saylor’s MicroStrategy revealing another massive BTC haul have also helped to promote its status as a serious asset. No doubt the over $160 million worth of buying done by MicroStrategy helped to push the price above $35,000.
The last time the BTC price was this high was in May 2022 when the market was just coming out of the bull market. Bitcoin bulls are still firmly in control, driving the price up 2.66% in the last day to reach above $34,300.
BTC recovery continues | Source: BTCUSD on Tradingview.com
Featured image from Shutterstock, chart from Tradingview.com