Bitcoin network difficulty drops to 27.693T as hash rate eyes recovery

The difficulty of mining Bitcoin (BTC), was further reduced by 5% to 27.693 Trillion. This is network difficulty maintaining its three-month-long downtrend since May 2022 when it reached an all-time high 31.251 trillion.

Satoshi Nakamoto, the creator of Bitcoin, invented network difficulty to verify that all transactions are legitimate using only raw computing power. This lower difficulty allows Bitcoin miners confirm transactions with lower resources. Smaller miners have a better chance of earning the mining rewards.

Despite this minor setback, a closer look at blockchain.com’s data shows that Bitcoin continues its role as the most resilient and immutable network of blockchains. The difficulty adjustment is directly proportional the hashing power and miners. However, the total hashrate (TH/s), recovered 3.2% in similar timeframes as the following.

The Bitcoin hash rate was at its peak of 231.428 exahash/second (EH/s), when BTC prices dropped to $25,000 last June. This raised momentary concerns about excessive power consumption.

Since June 2021 when China outlawed crypto trading and mining, the United States has been contributing the most to the global Bitcoin hashrate. In September 2021, however, Chinese miners resumed their operations. Statista data shows that the US accounts for 37.84%, with China accounting for 21.11%, and Kazakhstan accounting 13.22%.

Cointelegraph previously reported that the steep drop in GPU prices has opened up small opportunities for small-time miners who want to purchase more powerful and efficient mining equipment. Miners view falling GPU prices as an opportunity to offset ongoing bear markets and their operational costs.

Related: The Sustainable Bitcoin Mining Power Mix Hits 59.5%: BTC Mining Council

Concerns about excessive power consumption were eased by a report from the Bitcoin Mining Council, which revealed that almost 60% of electricity used in BTC mining is generated from renewable sources.

In Q2 2022 #Bitcoin mining efficiency jumped 46% YoY and sustainable power mix reached 59.55%. This is more than 50% for the fifth quarter in succession. While the network was 137% safer YoY, it used 63% less energy. It is hard to find an industry more clean & efficient.https://t.co/gqYn8qew9R
— Michael Saylor (@saylor), July 19, 2022

BTC mining was also identified as accounting for just 0.9% of global carbon emissions, which is estimated at 34.8 billion metric tonnes. It also consumed only 0.15% of global energy supplies.

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Eileen Wilson

Eileen Wilson –Technology and Energy My Name is Eileen Wilson with more than 5 years of experience in the Stock market industry, I am energetic about Technology news, started my career as an author then, later climbing my way up towards success into senior positions. I can consider myself as the backbone behind the success and growth of topmagazinewire.com with a dream to expand the reach out of the industry on a global scale. I am also a contributor and an editor of the Technology and Energy category. I experienced a critical analysis of companies and extracted the most noteworthy information for our vibrant investor network.

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