Bitcoin

<a href="https://ultramining.com/news/en/russias-bitcoin-gold-rush-mining-machine-influx-outpaces-rest-of-the-world/">Bitcoin miners</a> are struggling due to last month’s <a href="https://ultramining.com/news/en/heat-waves-and-halving-bitcoin-miners-cash-in-amid-rising-prices/">halving</a> event, which reduced block rewards. Now, the <a href="https://ultramining.com/news/en/impending-bitcoin-halving-may-trigger-major-hashrate-decline-say-experts/">hashrate</a> is climbing again. <a href="https://ultramining.com/news/en/luxor-innovates-with-extended-contracts-and-daily-settlements-for-enhanced-bitcoin-mining/">Luxor</a> Technology’s HashRateIndex reported a new seven-day hashrate high of 659 exahashes per second (EH/s), a 13.6% increase from the post-halving low. Over the weekend, the average network hashrate hit an all-time high of 732 EH/s, according to <a href="https://cryptopotato.com/bitcoin-miners-face-more-pain-as-hashrate-surges-difficulty-adjustment-looms/">Cryptopotato</a>. 
This surge in hashrate means more competition and difficulty for miners. High hashrates improve Bitcoin's network security but increase the mining challenge. HashRateIndex suggested that the increase could be due to public Bitcoin miners energizing their ASIC orders on schedule. This introduces more powerful <a href="https://ultramining.com/hardware/">hardware</a>, adding to the competitive environment.&nbsp; 
Currently, the average block time is 9 minutes and 26 seconds. Public miners have had 76.6 EH/s worth of equipment on order for 2024, with 12.9 EH/s delivered in Q1 and nearly 36 EH/s in Q2. This surge in hashrate will likely lead to a +5.97% difficulty adjustment in about eight days, raising the mining challenge further. 
The current mining difficulty is 84.38T, down from an all-time high of 88.1T. An upward adjustment will exacerbate miners' struggles. <a href="https://ultramining.com/news/en/bitcoins-rebound-above-30k-boosts-hashprice-a-4-leap-in-24-hours/">Hashprice</a>, which measures miner earnings, is currently $53 per petahash per second per day. It has fallen 46% since the start of the year. At the peak of the crypto market in 2021, hashprices surged to $400/PH/s/day, but have since slumped 87%. 
Due to increasing competition, energy, and hardware costs, large <a href="https://ultramining.com/news/en/blockstream-aims-for-bitcoin-profit-with-mining-rig-investment-ahead-of-2024-halving/">mining companies</a> are seeking cheaper energy sources in Africa and Scandinavia. As mining profitability declines, these companies must innovate to survive in the competitive landscape.

Bitcoin Miners Face More Pain as Hashrate Surges, Difficulty Adjustment Looms

Ultramining_Eng

Other articles published on May 30, 2024

Bitcoin Faces Resistance After Recent Surge

Breaking: Spot Ethereum ETF Issuers Asked by SEC To Submit Updated S-1 Filings By Friday

96% of PEPE holders in profit after month long rally

Bitcoin Spot ETFs Extend Inflow Streak, 'Very Low Fee' Is By Design, Says Cathie Wood

75 Billion Shiba Inu in 24 Hours, What's Happening?

Shiba Inu and DogWifHat Tokens Surge Amid Crypto Market Liquidations

Join our free newsletter for daily crypto updates!