Bitcoin's mining difficulty is about to get its biggest cut since June. Here's what that means in plain English:
Every 2,016 blocks the network resets difficulty so blocks keep arriving about every 10 minutes. Lately they've been late (10m46s to 10m50s on average this epoch, per Crypto Briefing), which means machines have gone offline or hashrate has cooled. Seven-day hashrate averages this month: roughly 963 to 1,069 EH/s.
The numbers:
• Current difficulty: 148.36T, after a 5.54% rise on Oct 29
• Projected change: about -6.4% to -7.8% (Crypto Briefing); mempool.space's live estimate is -7.9%, with 128 blocks left at my check, due around Nov 14
• For scale, June's cut was 10.09%
My read: a cut doesn't predict price, it reacts to it. Difficulty rises when mining is attractive and gets trimmed when weaker rigs switch off, and $BTC sitting near $71K, a roughly 12-week low (The Block), is exactly when that happens. For the miners still running, each machine finds more blocks for the same power bill, so it eases some pressure. What I'd watch: does hashrate climb back over 1 ZH/s after the reset, or keep slipping?
Do you read a difficulty cut as capitulation or as the network healing itself? Not financial advice. #Bitcoin #Mining
Disclosure: Write to Earn may pay me a commission on cashtag trades.
Every 2,016 blocks the network resets difficulty so blocks keep arriving about every 10 minutes. Lately they've been late (10m46s to 10m50s on average this epoch, per Crypto Briefing), which means machines have gone offline or hashrate has cooled. Seven-day hashrate averages this month: roughly 963 to 1,069 EH/s.
The numbers:
• Current difficulty: 148.36T, after a 5.54% rise on Oct 29
• Projected change: about -6.4% to -7.8% (Crypto Briefing); mempool.space's live estimate is -7.9%, with 128 blocks left at my check, due around Nov 14
• For scale, June's cut was 10.09%
My read: a cut doesn't predict price, it reacts to it. Difficulty rises when mining is attractive and gets trimmed when weaker rigs switch off, and $BTC sitting near $71K, a roughly 12-week low (The Block), is exactly when that happens. For the miners still running, each machine finds more blocks for the same power bill, so it eases some pressure. What I'd watch: does hashrate climb back over 1 ZH/s after the reset, or keep slipping?
Do you read a difficulty cut as capitulation or as the network healing itself? Not financial advice. #Bitcoin #Mining
Disclosure: Write to Earn may pay me a commission on cashtag trades.