Miners switch networks before Bitcoin halving, Bitcoin network computing power continues to rise

As Bitcoin miners plan to obtain as much BTC as possible before the block reward is halved in May, the current Bitcoin network computing power has increased significantly.

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Mining is driven by profit

It’s no surprise that Bitcoin’s sharp drop last month led to an equally significant drop in the mining industry. Old, inefficient mining machines would become unprofitable and would be shut down. Now, as Bitcoin prices have rebounded, miners are starting to turn their machines back on.

Currently, generous economic incentives are driving some old mining machines back into use. Despite temporary fluctuations, the price of Bitcoin has risen by about 40% since mid-March. However, the total network computing power has only risen by 12.5%. Therefore, it is not surprising that miners are taking advantage of this opportunity to make more profits.

Analysts have also noticed the increase in Bitcoin computing power. The increase in computing power reflects the increasing interest in Bitcoin investment and adoption. Analyst Plan B tweeted:

Bitcoin halving is expected to happen on May 11. Miners are pushing up the Bitcoin hashrate. The next difficulty adjustment is coming soon.

Additionally, both BCH and BSV completed their block reward halvings in the past few days. As expected, both chains have seen a significant drop in hashrate. Because Bitcoin can be mined with the same ASIC miners, the original BCH and BSV miners are now moving their hashrate to the Bitcoin network. In fact, miners have long been switching hashrate between these cryptocurrencies and other cryptocurrencies that use the SHA-256 algorithm to find the network with the highest profit margins.

After the Bitcoin halving, many of these miners are likely to switch their computing power back to mining altcoins.

“Halving sentiment” continues to grow

As the Bitcoin halving approaches, the Bitcoin network hashrate will continue to rise as miners look to get as many Bitcoins as possible before the block reward drops. There is no doubt that as market confidence recovers, many long-term shut-down mining machines will be turned back on, even if there is currently little profit.

Indeed, excitement around the halving continues to grow as analysts continue to publish articles on how it will affect market prices. Google searches for "bitcoin halving" are steadily increasing, with growth expected to peak in the coming weeks. The number of on-chain transactions on the Bitcoin network also continues to rise, and there is no doubt that many investors are planning to buy Bitcoin while the price is relatively low.

Mining activity is another indicator that the Bitcoin network is still strong and operating as planned. There will undoubtedly be fluctuations in Bitcoin mining in the coming weeks, but in the long run, the Bitcoin network hashrate is definitely going up.

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