What death spiral?
Today bitcoin saw an adjustment to its mining difficulty levels, something that happens roughly every two weeks.
This time the adjustment was an 11.3% percent adjustment to the upside.
That number may or may not mean much to you on first glance, but this adjustment was the 3rd largest adjustment to the upside in the past two years...
Check it out:
(Source: ~~~ embed:1307594854508232706/photo/1) twitter metadata:Z2xhc3Nub2RlfHxodHRwczovL3R3aXR0ZXIuY29tL2dsYXNzbm9kZS9zdGF0dXMvMTMwNzU5NDg1NDUwODIzMjcwNi9waG90by8xKXw= ~~~
Oh, and this adjustment took the difficulty levels to new all time highs as well.
Death spiral was all FUD...
Rewind the clock back to May of this year and there was a lot of fear uncertainty and doubt being spread around regarding what might happen after the halving.
There was one rather vocal camp that seemed to think that not only would the halving not be good for the price of bitcoin, but it would likely be the start of a miner death spiral.
Where we see hash rates declining, mining difficulty dropping, and the price falling.
They were dead wrong.
Not only did bitcoin see the 3rd highest difficulty adjustment in the last 2 years, but this also puts the difficulty levels significantly higher than where it was at the time of the halving.
The difficulty level is now 19.9% higher than it was at the time of the halving...
Check it out:
(Source: ~~~ embed:1307659083592470528/photo/1) twitter metadata:bjNvY29ydGV4fHxodHRwczovL3R3aXR0ZXIuY29tL24zb2NvcnRleC9zdGF0dXMvMTMwNzY1OTA4MzU5MjQ3MDUyOC9waG90by8xKXw= ~~~
Oops...
So much for a miner death spiral.
Not only did we not see one, but the network is more robust and more secure than at any point prior.
The bitcoin network just keeps getting stronger and more robust as time goes on, irregardless of the halving events.
It just keeps working exactly as it was designed to.
Stay informed my friends.
-Doc
Posted Using LeoFinance
Sounds good...solid "little" BTC ;)
Buy it, hodl it, check on the price in 12-18 months. Happy.
Yesir ;)
Pretty bullish stuff we're seeing. Think we may see some more backfilling first. Nothing bad about that though - good market structure is always welcomed.
Great coverage BTW. Thanks!
Yep, though the backfilling is probably more related with what is going on in the equity markets. They are demanding more stimulus and every day that they don't get it, they go down. Risky assets across the board being pulled down.
There's still a very strong correlation.
Yep. People buy gold and bitcoin as a hedge against a volatile stock market, but over the recent past, when stocks tank, everything tanks.