Bitcoin (BTC) Mining Difficulty Drops Another 5% But Hashrate Picks Up

Bhushan Akolkar
July 18, 2021
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In the latest adjustment on Saturday, July 17, has dropped by another ~5% in its fourth consecutive drop. The previous adjustment saw the highest drop in percentage terms dropping 28% a fortnight back. With the latest drop, the Bitcoin mining difficulty has had a new low since January 2020.

Courtesy: BTC.com

This drop comes as a lot of Chinese miners have been leaving the Bitcoin network over the last few weeks. Fewer people mining the Bitcoin blocks means fewer blocks getting added to the BTC blockchain. As per the data, the current mining interval is 10 minutes.

Interestingly, the drop in Bitcoin mining difficulty also means that a lot more cash is going to Bitcoin miners who remain online. Speaking to CNBC during the last difficulty adjustment, bitcoin mining engineer Brandon Arvanaghi told the publication.

“This will be a revenue party for miners. They suddenly own a meaningfully larger piece of the pie, meaning they earn more bitcoin every day.”

Bitcoin Hashrate Picks Up

On the other hand, the Bitcoin hashrate has once again picked up after falling under 90m TH/s a fortnight back. From the lowest levels on July 3, the bitcoin hashrate has 100m TH/s as of press time.

It shows that part of the mining machines migrated over the last few weeks from China to overseas are coming online once again. Governments from across North America and Europe are wooing miners with strong incentives and the crypto mining industry takes a turn towards adopting green and sustainable energy solutions.

But Bitcoin price has been reeling under pressure over the last week, especially after its fall under $33,000. At press time, BTC is training at $31,827 with a market cap of $598 billion. The indicator to watch for is the Bitcoin address activity which has been on a steep fall over the last few weeks.

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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
Bhushan is a seasoned crypto writer with over eight years of experience spanning more than 10,000 contributions across multiple platforms like CoinGape, CoinSpeaker, Bitcoinist, Crypto News Flash, and others. Being a Fintech enthusiast, he loves reporting across Crypto, Blockchain, DeFi, Global Macros with a keen understanding in financial markets. 

He is committed to continuous learning and stays motivated by sharing the knowledge he acquires. In his free time, Bhushan enjoys reading thriller fiction novels and occasionally explores his culinary skills. Bhushan has a bachelors degree in electronics engineering, however, his interest in finance and economics drives him to crypto and blockchain.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.