Bitcoin SV [BSV] Experiences Slowdown In Mining Since Its Halving, Are Miners Jumping Ship?

BSV

Bitcoin SV [BSV] Experiences Slowdown In Mining Since Its Halving, Are Miners Jumping Ship?

Over the last few days, major Bitcoin forks have undergone their halving process – a month before the original chain experiences its own halving. After Wednesday’s halving on Bitcoin Cash ABC (BCH), Bitcoin SV completed its halving at 0048 hrs GMT on April 10th effectively cutting the supply rate of the token from 12.5 BSV to 6.25 BSV.

While a number of analysts believe the halving is expected to propel BSV’s price upwards, it has been anything but. The sixth-largest cryptocurrency currently trades at $191.65 across major exchanges, representing a 12% drop in the past 24 hours.

Bitcoin Cash completes halving

Similar to Bitcoin’s halving, Bitcoin SV experienced the block reward halving at block #630,000 on Apr. 10, cutting the mining reward to 6.25 BSV. According to Blockchain’s Bitcoin SV explorer, the first halving ever on BSV happened some minutes after midnight GMT and sets afresh the quadrennial wait for another halving.

According to the explorer, an unknown mining account claimed the first block reward after halving. Bitcoin Cash’s first block was mined by Bitmain’s Antpool miner on April 8. The notion that a halving should be a positive for the blockchain (as seen with BTC’s prior halvings) has not quite materialized for both BSV and BCH (shows promise) since their halving.

Price drops below $190 as halving effects hit

Just as the market was appreciating following the massive ‘Black Thursday’ crash on March 12, BSV’s and BCH’s prices are tanking following the halving. On Apr. 8 as BCH completed its “uneventful” halving, BSV grew against the dollar from an intraday low of $185 to an intraday high of $226 on Apr. 9 crossing the SMA 50 resistance level.

Image: TradingView

However, since halving the coin has lost over 14% to trade at $191 as at the time of writing. The price is on the cusp of dropping below the SMA50 which signals a very bearish scenario for the token.

Only a third of the BSV blocks mined

In response to price tanking, the profitability of BSV mining is also wanting as miners, who once shared over $400,000 in daily rewards from the token, are only able to recoup half of this. According to Coindance statistics, it is currently 55.60% more profitable to mine BTC than BSV which has seen miners switch their hardware to BTC mining as the two tokens use the same SHA256 algorithm.

Only 24 blocks out of 72 expected blocks have been mined since BSV halving (Image: Blockchair)

The remaining miners on the blockchain are also not motivated in the mining of the coin. Since the halving, over 12 hours ago, only 25 of the expected 72 blocks have been mined. This represents only a sixth of the total output required in a day.

Summary
Bitcoin SV [BSV] Experiences Slowdown In Mining Since Its Halving, Are Miners Jumping Ship?
Article Name
Bitcoin SV [BSV] Experiences Slowdown In Mining Since Its Halving, Are Miners Jumping Ship?
Description
Over the last few days, major Bitcoin forks have undergone their halving process – a month before the original chain experiences its own halving. After Wednesday’s halving on Bitcoin Cash ABC (BCH), Bitcoin SV completed its halving at 0048 hrs GMT on April 10th effectively cutting the supply rate of the token from 12.5 BSV to 6.25 BSV.
Author
Publisher Name
Coingape
Publisher Logo
Coingape is committed to following the highest standards of journalism, and therefore, it abides by a strict editorial policy. While CoinGape takes all the measures to ensure that the facts presented in its news articles are accurate.
Disclaimer The views, opinions, positions or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of CoinGape. Do your market research before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.
Author: Lujan Odera

Been in the field since 2015 and he still love everything blockchain and crypto! FC Barcelona fan. Author and journalist. Follow him at @lujanodera.

Post your comment...
Lujan Odera 384 Articles

Been in the field since 2015 and he still love everything blockchain and crypto! FC Barcelona fan. Author and journalist. Follow him at @lujanodera.

Follow Lujan @