The hashrate of Bitcoin (BTC) has increased significantly irrespective of the significant decline in the value of Bitcoin (BTC). The hashrate represents the amount of computing power that secures the network. The chief operating officer at Blockbid (a digital currency trading platform based in Australia) – David Sapper, said that the continuous increase in the hashrate of BTC showcases the investors’ satisfaction in the long-term of the dominant digital currency.
Sapper further said that “the increase in the hashrate of bitcoin BTC means investors are here for the long-term. He disclosed this in an interview with Bloomberg.
Why the Increase in the Hashrate?
In a bearish market, digital currency mining can become less profitable as the same amount of resources, electricity, and energy are used to mine cryptocurrencies. For instance, if the difficulty of mining remains the same but the value of Bitcoin (BTC) declines to $8k from $20k, miners can only sell the coin they generated when the value was $20k at $8k.
Normally, as the value of the digital currency plunged, investors in the digital currency space expected the mining difficulty and the hashrate of the digital currency to decline, proportional to Bitcoin price trend. Nevertheless, Bitcoin (BTC) hashrate has continued to rise at an exponential rate all through this year’s bear market, a period in which the overall market cap of the entire crypto market declined by more than 78%.
Hence, Sapper – the COO of one of the largest digital currency trading platforms in Australia – suggested that the continuous increase in Bitcoin (BTC) hashrate signals the patience of buffs and investors and their strong belief that the digital currency along other coins in the market will eventually recover to their previous levels in the coming months.
Bitcoin (BTC) Price Today – BTC / USD
The current value of Bitcoin (BTC) in the market is $6,490 after an increase of about 2 percent over the past twenty-four hours. The current market of BTC is $111.65 billion and its trading volume over the past twenty-four hours is $4.94 billion.