Despite recent struggles and falling prices, the Bitcoin blockchain hashrate has grown significantly lately. Presumably, blocks are discovered faster than the average of the ten-minute block interval. What does this increase in hashing power suggest and what should we expect?
Bitcoin (BTC): The Halving Could Happen Faster Than Expected!
The entire cryptosphere is currently staring at Ethereum. But while The Merge is garnering the attention of all investors, the Bitcoin network is dramatically increasing its hashrate, accelerating blocking intervals in the process. On September 4, 2022, its hashrate reached a rapid lifespan of 301.45 EH/s at a block height of 752,510.
Currently, there are 244.62 exahash per second (EH/s) dedicated to the largest blockchain. A few days before the end of August, bitcoin (BTC) block times were noticed to be significantly faster than the ten-minute average. At the same time, the average block time was less than eight minutes.
This suggests that the halving of the Bitcoin network should happen much sooner than expected. Indeed, the bitcoinsensus.com site displays two counters. One tracks the average of ten minutes per block, and the other tracks the current block times of 8.5 minutes.
Thus, there is a good chance that the halving will take place after 509 days instead of 598 days. According to bitcoinsensus.com, this reduction will likely take place on March 2, 2024 based on actual block times. This is earlier than the often used May 3, 2024 estimate.
Increased hashing power, what consequences?
The increase in the Bitcoin network hashrate, as usual, will no doubt increase the difficulty. This inexorably happens when block times are faster than the average ten minutes and stay faster for two weeks before the difficulty change.
This came on August 31 when the Bitcoin blockchain printed its second highest difficulty. Additionally, block rewards will also be halved. Currently, the block reward is 6.25 BTC per block. After the next halving, miners will start receiving 3,125 tokens per block.
However, increasing the difficulty does not seem to have any negative effects on miners. The next difficulty change scheduled for September 15 is expected to increase further by more than 3%. Nevertheless, the adoption of BTC is becoming more and more massive.
Bitcoin increases its hashrate as the market crypto is still bearish from historical highs. However despite the halving which could happen sooner than expected and the change in difficulty, BTC continues to gain sympathizers. The raison ? Certainly the fact that the price of bitcoin could rise faster than expected if the halving hastens its pace.
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