Bitcoin Network Difficulty Reaches Record High
As of August 2, 2024, the Bitcoin network difficulty hit a record high of 90.67 trillion, according to data from CoinWarz. This milestone comes after three months of difficulty drops and signifies renewed confidence among miners in the cryptocurrency network.
The increase in difficulty means that mining new Bitcoin blocks now requires more computing power, potentially impacting operating costs and future supply dynamics.
Bitcoin’s Computing Power Surges to New Heights
On July 27, Bitcoin’s computing power reached a record high of 677 EH/s, demonstrating the strength and security of the network infrastructure. This spike indicates heightened competition among miners and enhances the network’s resilience against security threats.
The surge in computing power not only points to increased mining activity but also has the potential to positively influence Bitcoin’s price by bolstering investor confidence.
Bitcoin Price Faces Bear Market Pressure
Currently trading at $63,103.42, Bitcoin has shown a modest recovery trajectory despite recent volatility. The cryptocurrency’s price has fluctuated between $62,248 and $65,593, but if the current trend persists, it may avoid the $62,000 resistance level.
However, with Bitcoin’s relative strength index (RSI) at 44.64, indicating potential oversold conditions, the cryptocurrency could test the next support level at $58,000 if bearish forces intensify. Further declines are likely if market pressure persists.
Overall, the increasing network difficulty and computing power of Bitcoin underscore the intensifying competition in the mining environment. These factors play a crucial role in evaluating the network’s health and security amidst ongoing price volatility.
