Bitcoin's hash rate is now again at all time highs!
So much for miner capitulation like many of the latest news articles would have you believe.
Hash rate seems very much tied to price action right now.
Any kind of positive price action and it goes back up, negative price action and it turns south.
Check out the latest graph:
(Source: https://bitcointalk.org/index.php?topic=178336.515360)
As you can see, we have turned back up and are making new highs yet again as of a few minutes ago.
Miners trying to collect all they can before the halving?
People were taking note of the declining or sideways hash rate from a few weeks back and showing a bit of concern.
Not anymore.
They were mostly talking about how it was likely miners capitulating, throwing in the towel as prices drifted ever lower.
Their capitulation adding to the sell pressure and going to take prices to extremely low levels.
It appears the $7k-$7.5K is a very sensitive area as it relates to miners.
If we drift to the bottom of that range or go lower, miners are being forced to shut off the machines.
However, now being at the higher end of that range (and above it) like we've been for the past few days, the machines appear to get turned right back on.
Either way, zooming out a bit and looking at the higher lows in hash rate, it still looks like there was really nothing to worry about:
(Source: https://beincrypto.com/bitcoin-hash-rate-defies-miner-capitulation-prophecy/)
We have been seeing higher lows basically the whole time.
A small sideways breather was to be expected after such a sustained move higher over the last several months.
Overall, the trend has been overwhelmingly, 'up'.
It will be interesting to see what happens to the hash rate once this next halving takes place
If miners are having trouble keeping the machines going at that $7k price point with the current block reward, what are they going to do when that reward gets cut in half?
They either need a price of 2x higher ($14k) and/or a dramatic drop in difficulty, or they may be forced to shut down.
Interesting times we are in.
With the halving now about 4 months away, things are likely going to get very interesting around here.
Stay informed my friends.
-Doc
We all know Bitcoin will go up to $40k or higher after the halving... It's just matter of how long after the halving it will happen...
Past patterns say anywhere from 12-18 months. Though, perhaps this one takes a little longer...
I think the pattern was that time gets longer and longer each cycle... So...
and any regulations would bring a positive energy
Depends on the regulations.
It's not the regulations itself that are a bad thing, it's how exchanges attempt to follow the regulations... Some go over and that will have negative impact... People want exchanges that have enough trading volume without faking, and that exchanges weed our users that just try to dump coins to manipulate exchange rates. Things like KYC and AML can be implemented without having too much negative effect, but some exchanges repel customers by being too careful with conformance and so fail to conform other regulations by doing so. That can cause the exchange to unlist some coins and reject listing of new coins even though the coins conform to both AML and KYC regulations. Things like requiring third-party auditing for AML conformance is one example for overkill with conformance.
You might write a book about bitcoin because you seem to focus mostly on this cryptocurrency. ;)
Good news... thanks for sharing