Difficulty decreases, miners resume work, and Bitcoin network computing power soars to 120EH

Bitcoin mining difficulty dropped by more than 9% on June 4, giving miners that had shut down a chance to compete again. In addition, Glassnode statistics show that blocks are being produced faster and at the highest rate since July 2019.

According to Bitcoin (BTC) research and analysis firm Glassnode, Bitcoin block production is more efficient than before and is at its best level in 11 months. In the month of July 2019, Bitcoin’s price performed exceptionally well, almost touching $13,000 per unit on global exchanges.

“Currently, Bitcoin block production is running at about 8 blocks per hour. This is the highest rate since July 2019 and is likely a result of the recent difficulty adjustment,” Glassnode tweeted on June 6, 2020.

Data from Glassnode published on June 6, 2020.

Statistics show that the Bitcoin network experienced a considerable drop in difficulty on June 4, 2020. This was the seventh largest drop in difficulty throughout the protocol’s history, and the fourth downward adjustment of mining difficulty in 2020. The drop was about -9.29%, and almost at the same time as the adjustment was completed, Bitcoin’s total network computing power (hash rate) began to climb all the way.

Difficulty data from charts.Bitcoin.com on Sunday, June 7, 2020. Bitcoin (BTC) DAA fell -9.29% on June 4, 2020. Difficulty decreases and increases are part of the code designed by Satoshi Nakamoto for the Bitcoin system, and the Difficulty Adjustment Algorithm (DAA) is adjusted every 2016 blocks. With a block time of approximately every 10 minutes, the DAA usually decreases or increases once every two weeks on average.

According to Fork.lol, the absolute hash rate measured by the 12-hour average shows that the total computing power of the Bitcoin network has exceeded 120EH/s.

Data from Blockchain.com shows that the total network hashrate dropped to a low of 90 exahash per second (EH/s) on May 26, 2020. Bitcoin's total network hashrate has been steadily increasing, but the DAA dropped on June 4, making it easier for some miners. Before the halving, there were 17 Bitcoin mining pools working on the Bitcoin network, and after the halving, 32 mining pools joined the competition.