Bitcoin Mining Difficulty Hits an All-Time High as BTC Network’s Hash Rate Power Grows Stronger
- With Bitcoin mining hitting an ATH, the network is now stronger than ever
- Bitcoin hash rate remains near an all-time high for most of May month
On May 30th, Bitcoin mining difficulty hit an all-time high breaking the record last hit on August 2018 as shared by Kevin Rooke, a cryptocurrency enthusiast. This new peak means the bitcoin network is stronger than ever.
Bitcoin mining difficulty has just hit an all-time high.
The network is stronger than ever.
— Kevin Rooke (@kerooke) May 31, 2019
The Bitcoin network difficulty is the measure of how difficult it is to find a block which is calculated every 2016 blocks. With this, we yield one block every ten minutes.
The rate of creation goes up as more miners join the network. As the rate of block generation rises, the difficulty also moves upwards in order to compensate, that in return push the rate of block creation down yet again.
This also means any blocks released by malicious miners that don’t meet the required difficulty target would be rejected by everyone on the network, making it worthless. So, to effectively move a block, the miner should hash the header of the block in such a way that is below or equal to the ‘target’ that changes with every change in difficulty.
Hence, the number of miners in the Bitcoin network increases the difficulty as a miner needs to compute more guesses per second and with this increase, the hash rate rises as well.
Hash rate is the speed at which an operation is computed. For instance, a machine with a speed of 50 hashes per second will make 50 guesses per second when trying to solve a block. The higher the hash rate the better as it increases your opportunity to find the next block and receive the Bitcoin in reward.
Hash rate is also continuously rising and nearing close to the all-time high hit in November 2018 at 60.4 Th/s. On May 20th, the Bitcoin hash rate climbed 57.6 Th/s while on May 30, it has been at 57.04 Th/s.
In mid-May, Diar reported,
“As Bitcoin's Hash Power continues in steady growth nearing highs, major pools whose tussle for solving blocks looks all but plateaued month in, month out. Smaller mining pools have made significant gains in the past few months as unknown miners either drop off or join a tribe.”
Bitcoin Hashrate, Source: Bitinfocharts
The hash rate actually follows price and when price increases, hash rate increases and when price decreases so do hash rate.
It makes sense as, throughout May, we saw Bitcoin price surging as it climbed from $5k to $9k, registering more than 55 percent gains.