Bitcoin Hash Rate Triples 6 Months After the China Exodus
It has taken the bitcoin hash rate less than six months to recover from its China-induced crash. The metric, displaying the robustness of the world’s largest blockchain, has increased by roughly three-fold since late June and is close to the ATH tapped in May.
BTC’s Hash Rate Nears ATH Six Months Later
The hash rate reached an all-time high in May this year at nearly 200 Ehash/s, according to data from BitInfoCharts, when the situation changed vigorously. China, the world’s most dominant country in terms of BTC mining responsible for over 60% of the overall hash rate at the time, reiterated its ban on everything crypto and went after miners.
As they shut down their machines and started looking for new homes, the metric tumbled. It went down by approximately 65% in weeks. The culmination came in late June when the hash rate dropped to 68 Ehash/s.
This caused significant damages to the network as the block rewards were delayed until the blockchain went through the much-needed negative readjustments. In fact, it underwent the longest streak of negative mining adjustments at that point.
However, as miners started to settle in other regions and the difficulty adjustment played its role, the hash rate began its recovery. Thus, it doubled by the end of August and has now nearly tripled at it stands at 184.24 Ehash/s. More precisely, the metric has increased by 170% since the late June low.
Moreover, the mining difficulty also went through nine consecutive positive adjustments, showing that more and more miners are getting onboard.
The US Takes Over
As China ousted miners away, the network needed a savior. With many prominent Americans, including politicians, urging the country to embrace them, many miners have seemingly moved to the States.
Data from Cambridge shows that the world’s most powerful economy has become the clear leader in terms of BTC hash rate share. As of now, the nation is responsible for nearly 43% of the total bitcoin hash rate, leaving Kazakhstan (21.9%) and the Russian Federation (13.6%) far behind.
