Bitcoin network hash rates rose to new highs over the weekend. Moreover, the pressure on bitcoin miners increased as hardware prices also started to increase while profitability remained stagnant.
The 7-day and 3-day average bitcoin hash rate rose to all-time highs over the weekend, according to the hash rate index.
Bitcoin miners are facing pressure
On July 9, the Bitcoin mining industry outlet Hash Rate Index reported a significant rise in network capacity over the weekend.
He noted that the seven-day average Bitcoin hash rate was 401 EH/s on Saturday, July 8. Moreover, the 3-day average rose by more than 18% to 444 EH/s (exahashes per second).
“The amazing thing is that the lion’s share of that growth (almost all the damned) happened this weekend.”
BitInfoCharts Certain That high hash rate reached a record high of 465 EH/s on July 8, and fell to 428 EH/s the next day.
The report also indicated that the heatwaves that occurred last week in Texas were too weak to cause major problems in the Texas power grid. Bitcoin miners shrink during inclement weather, but are currently back almost at full capacity, hence the increases in hash rates.
It added that this could cause a significant upward revision of more than 7.5%. Mining difficulty currently sits at 50.64t, just below its peak last month, but the next revision is likely to take it to a new all-time high.
BTC retail price drop
Moreover, these factors will add pressure on bitcoin miners as the hash price continues to drop. The hash rate, or mining profitability, is currently $0.075 per TH/second per day. It rose to $0.127 in early May during the ordinal mint frenzy that severely flooded the network.
“I hope you enjoyed the $70-80/PH/day payouts, because unless Bitcoin drops harder next week, miners could face a drop below $70/PH/hash price when the adjustment hits.” the next”
The pain of bitcoin miners does not end there. The report indicated further divergence in the premium for next-generation ASICs such as the S19 XP over newer and mid-range hardware.
It stated that “as miners prepare to halve and prioritize these rigs, their prices are rising while other models are falling or stagnating.”
Bitcoin prices were pretty stagnant over the weekend, hovering just above $30,000. They pulled back a bit during the early hours of July 10 as the asset fell to $30,190.
A drop below $30,000 seems likely as market sentiment wanes and a correction begins to accelerate. This likely means more bad news for miners.
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