The price of bitcoin has hit a two-year high of $ 19,000 and has fallen more than $ 17,000 more than once in a week’s time as the mining difficulty is increasing.
According to on-chain analytics provider Glasode, bitcoin (BTC) has increased 8.9% in mining difficulty today, putting the metric within 5% of all its high value in the past month.
#Bitcoin The mining difficulty rose by 8.9% today.
It is now only 4.4% below its ATH.
Chart: https://t.co/qtmuDmTfGS pic.twitter.com/1eX63yBAgc
– GlassNode (@ GlassNode) November 29, 2020
The increase in mining difficulty marked the beginning of the bull cycle in 2013 and 2016, although it remains to be seen whether Coin’s recent rally is a long-term rally within 3% of its ATH value. The price of bitcoin has dropped 11% in the past week as it has transferred some of its holdings to several whale exchanges and is $ 18,122 at the time of publication.
Greater mining difficulty may mean increased fees for users and the time required to generate blocks in addition to increasing the number of uninstalled transactions in Bitcoin’s mempool. According to Earn.com estimates, the optimal BTC transaction fee is currently 14,272 superficial or about $ 2.60.
The Ethereum (ETH) blockchain has also seen record highs recently. Glassnode Reported Mining difficulty for the network was at a two-year high after the token price fell more than $ 600 on Friday in three days.
The network hash rate – an indication of how much computing power is being dedicated to validating bitcoin transactions – fell after metric and mining difficulty in accessing ATH in October. Data from Blockchain.com shows that the metric fell more than 27% from 146.5 EH / s to 106.6 EH / s on 17 October to 17 November and 2 November. According to BTC.com, the hashtrate of bitcoin currently stands at 130.15 EH / s.
At the time of publication, the price of bitcoin is staying above $ 18,000, rising 1.9% in the last 24 hours.