Bitcoin (BTC), a cryptocurrency network, has reached a new record high of 26.643 trillion in mining difficulty. This is despite a bear market. The average hash rate for Bitcoin (BTC), is 190.71 exahash/second (EH/s).
The overall computational power determines the Bitcoin network difficulty. This is related to the difficulty in verifying transactions and mining BTC. The blockchain.com data shows that the network difficulty experienced a decline between May 2021 and July 2021, due to a variety of reasons, including a ban on all crypto mining from China.
BTC network difficulty. Source: Blockchain.com.
The network difficulties experienced a dramatic recovery as the miners who were displaced resumed their operations from other countries. On Saturday, the BTC network reached a record high of 26.643 trillion.
According to BTC.com data, the network will grow stronger and reach another record-breaking high within the next 12 hours with a network difficulty at 26.70 trillion.
BTC network difficulty estimated in the next 12 hours Source: BTC.com.
F2Pool, which has contributed 88 BTC blocks to the hash rate, was the most active contributor in the past four days. Poolin, however, contributed 76 blocks. Yesterday’s average transaction fee was $1.58. This is a decrease from the historic peak of $62.78 in April 2021.
Related: Bitcoin could surpass stocks in 2022 due to Fed tightening — Bloomberg analyst
Mike McGlone, Bloomberg commodity strategist, believes that BTC can win despite federal pressure to tighten monetary policies surrounding cryptocurrencies. Investors recognize its value and BTC is a valuable digital reserve asset.
Cointelegraph reported that McGlone believes Bitcoin has the unique ability to outperform in an environment in which stimulus reduction is often considered negative for risk assets.
“Cryptos top the list of risky and speculative assets. It helps the Fed fight inflation by helping risk assets fall. Bitcoin could be the primary beneficiary of that scenario, becoming a global reserve asset.