Bitcoin price might have taken a dump along with its mining difficulty and hash rate but if we look at the bigger picture by zooming out, Bitcoin is growing as shared by Bitcoin economist Saifedean Ammous.
Looking at the Bigger Picture
Bitcoin is currently down 80 percent from its all-time high (ATH) of about $20,000 trading at $4,000 approximately. With a market cap of $70 billion, it is managing the daily trading volume of just about $5.2 billion.
As the Bitcoin price drops, the hash rate has taken a fall which is shown as the “estimated number of tera hashes per second (trillions of hashes per second) the Bitcoin network is performing,” as the miners shut down their rigs.
Furthermore, the bitcoin mining difficulty which is “a relative measure of how difficult it is to find a new block. The difficulty is adjusted periodically as a function of how much hashing power has been deployed by the network of miners,” is taking a hit as well.
If we take a look at the total transaction fees that is the total value of all transaction fees paid to miners (not including the coinbase value of block rewards), it has subsequently dropped severely moving according to price as per the Blockchain.com data.
However, bitcoin experts and enthusiasts believe this is in no way end of Bitcoin and crypto and one should stay focus the development aspect.
Bitcoin economist and the author of The Bitcoin Standard, Saifedean Ammous says,
“If you zoom out and ignore the daily noise, the inconsequential drama, the helpless screeching nocoiners, this is really all it comes down to: A new monetary asset steadily growing in value and security.”
Bitcoin's ten years in two lines: pic.twitter.com/Y2BcsQh0C2
— Saifedean Ammous (@saifedean) December 1, 2018
Bitcoin is certainly here to stay as development and interests keep on growing. Bitcoin as put by Neil Woodfine who works at Blockstream, “is a software solution to the MONEY problem. It doesn’t get much more MARKET that this.”
He further Tweets,
“Market forces—otherwise known as economic reality—drive bitcoin’s existence and can also drive it out of existence.
Bitcoin continues to work so well precisely because it leverages the economic incentives of multiple antagonistic actors to perpetuate and expand the system.”
However, it can be propelled further as a Christmas gift as pointed by Morgan Creek founder, Anthony Pompliano,
Want to get your kids a lifechanging Christmas gift?
Buy them Bitcoin and explain why it’s important.
They’ll thank you later.
— Pomp 🌪 (@APompliano) December 2, 2018
Having a background in writing, I worked on a wide array of industry topics and have recently entered the world of Blockchain and Cryptocurrency.