Bitcoin Difficulty Hits All-Time High as Price Remains Below $40K
Bitcoin’s fundamentals keep getting stronger despite the sluggish price performance
Bitcoin difficulty has reached a new all-time high of 29.7 trillion, according to data provided by BTC.com.
It has spiked more than 5% over the past two weeks, which marks the biggest increase since January.
The network updates mining difficulty every 2016 blocks to make sure that miners are neither overproducing nor underproducing coins. In his white paper, Satoshi Nakamoto, Bitcoin’s pseudonymous creator, explained that such a mechanism helps to ensure steady block production.
At the same time, Bitcoin’s hashrate also hit yet another all-time high of 220.49 EH/s. This means that the network has reached its peak resilience, making it incredibly costly for attackers to gain control of the network.
Bitcoin’s hashrate has now grown more than 30% since the start of the year, which signals that more miners are willing to join the network despite the fact that the market is languishing.
The Bitcoin price remains below the $40,000 level. The largest cryptocurrency is currently trading in the green after bouncing off the $37,000 support level.