- Bitcoin mining difficulty increased by nearly nine percent in the latest adjustment on Sunday.
- Currently, the mining difficulty is about five percent away from reaching the highest point.
Bitcoin mining difficulty is nearing its all-time high (ATH) following the latest adjustment posted on November 30. The difficulty is about five percent away from reaching the highest point, according to Glassnode, an on-chain analytics platform. Presently, the network hashrate has slightly dropped from its level after the adjustment. Meanwhile, the adjustment comes as Bitcoin price stabilizes above the $18,000 level.
Increase in Bitcoin mining difficulty
The increase in Bitcoin mining difficulty comes as the hashrate recovers from a recent decline of 30 percent within two days. Precisely on November 22, the hashrate dropped from 161 exahashes per second (EH/s) to as low as 112 EH/s on November 24, according to the information on Coinwarz. From this point, the network hashrate grew – although with a few drops – leading up to an 8.9 percent increase in the latest Bitcoin mining difficulty adjustment.
#Bitcoin mining difficulty increased by 8.9% today.
It is now only 4.4% below its ATH.
— glassnode (@glassnode) November 29, 2020
According to Glassnode, Bitcoin mining difficulty is now only 4.4 percent away from the highest adjustment ever noted since Bitcoin history began. The development today reduces the ease for mining new Bitcoin, as the required time for generating new blocks will slightly increase. There will also be an increase in the number of unmined BTC transactions, which somewhat suggests that there may be an increase in the transaction fees.
Nonetheless, the Bitcoin mining difficulty adjustment might be a bullish event to watch, as there were upticks in mining difficulty during the start of the 2013 and 2016 market rally.
Bitcoin price is back
Last week, the leading cryptocurrency shaded as much as 11 percent from $19,000 down to $17,000. This came amid the massive sell-offs in the market, as many whale investors were seen depositing a huge amount of the crypto on exchanges. Presently, the crypto is making its moves back to $19,000 as the current price sits at $18,499 on Coinmarketcap.