{"id":397149,"date":"2022-01-21T13:04:26","date_gmt":"2022-01-21T10:04:26","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/bitcoin-fundamentals-diverge-from-btc-price-dip-as-difficulty-hits-new-all-time-high\/"},"modified":"2022-01-21T13:04:26","modified_gmt":"2022-01-21T10:04:26","slug":"bitcoin-fundamentals-diverge-from-btc-price-dip-as-difficulty-hits-new-all-time-high","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/bitcoin-fundamentals-diverge-from-btc-price-dip-as-difficulty-hits-new-all-time-high\/","title":{"rendered":"# Bitcoin fundamentals diverge from BTC price dip as difficulty hits new all-time high"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3c558f7bf03\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3c558f7bf03\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-fundamentals-diverge-from-btc-price-dip-as-difficulty-hits-new-all-time-high\/#Difficulty_passes_26_trillion_for_the_first_time\" >Difficulty passes 26 trillion for the first time<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-fundamentals-diverge-from-btc-price-dip-as-difficulty-hits-new-all-time-high\/#BTC_price_dip_fails_to_break_miner_resolve\" >BTC price dip fails to break miner resolve<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Bitcoin fundamentals diverge from BTC price dip as difficulty hits new all-time high <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-128018ef>Bitcoin (BTC) may have tanked to six-month lows this week, but under the hood, the network is now verifiably stronger than ever.<\/p>\n<p>Data from on-chain monitoring resources including <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/glassnode\/status\/1484447333781757952\">Glassnode<\/a> and <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/btc.com\/stats\/diff\">BTC.com<\/a> confirms that as of Friday, the Bitcoin network difficulty is at a new all-time high.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Difficulty_passes_26_trillion_for_the_first_time\"><\/span>Difficulty passes 26 trillion for the first time<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The difficulty, which expresses how much miners need to work to solve the equations to process transactions on the blockchain, is arguably the most important of fundamental\u00a0Bitcoin network components.<\/p>\n<p>The metric automatically adjusts to increase or decrease mining effort according to miner participation \u2014 the more competition among miners, the higher the difficulty.<\/p>\n<p>This has the effect of keeping mining stable regardless of factors such as sentiment, price or unintended incidents.<\/p>\n<p>After dipping in mid-2021, difficulty took the rest of the year to bounce back, with the latest automated readjustment adding 9.32% to the previous level. With that, it entered unexplored territory above 26 trillion.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-01\/305f7940-a2ff-4d2a-a3d8-330b00501fdc.png\"><\/figure>\n<p>Commenting on the event, cryptocurrency journalist and commentator Colin Wu <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/WuBlockchain\/status\/1484372526725619716\">noted<\/a> that the increase is the highest in over half a year, with BTC.com data confirming that late August saw the last adjustment of more than 10%.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"BTC_price_dip_fails_to_break_miner_resolve\"><\/span>BTC price dip fails to break miner resolve<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The difficulty thus logically followed the hash rate higher, this having continually set new record highs last year.\u00a0<\/p>\n<p><strong><em>Related:\u00a0Breaking \u2018bear market\u2019 in Bitcoin demand will spark next BTC price surge \u2014 Analysts<\/em><\/strong><\/p>\n<p>The hash rate, an estimate of the processing power dedicated to the blockchain by miners, currently sits at 192 exahashes per second (EH\/s), having briefly reached 218 EH\/s on Jan. 10, according to <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/miningpoolstats.stream\/bitcoin\">MiningPoolStats<\/a>.\u00a0<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-01\/4cb297a6-9eaa-4b36-825b-2fac9b17fa43.png\"><figcaption style=\"text-align: center;\"><em>Bitcoin hash rate for week beginning Jan. 17 (screenshot). Source: MiningPoolStats<\/em><\/figcaption><\/figure>\n<p>As Cointelegraph often reports, an old mantra among age-old hodlers is that \u201cprice follows hash rate,\u201d this trend nonetheless taking a back seat for many as fundamentals move in the opposite direction to spot price.<\/p>\n<p>The growing hash rate thus implies that on longer timeframes, miner optimism over the profitability of their operations remains. Calculations last week revealed their break-even point to lie at around $34,000.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/bitcoin-fundamentals-diverge-from-btc-price-dip-as-difficulty-hits-new-all-time-high\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Bitcoin fundamentals diverge from BTC price dip as difficulty hits new all-time high &#8221; Bitcoin (BTC) may have tanked to six-month lows this week, but under the hood, the network is now verifiably stronger than ever. Data from on-chain monitoring resources including Glassnode and BTC.com confirms that as of Friday, the Bitcoin network difficulty&#8230;<\/p>\n","protected":false},"author":1,"featured_media":397150,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDEvNjlmMWU1M2YtMmMwMC00N2NhLWI5ZWYtOTcwZWUzNjIyY2MwLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74937,73785],"class_list":["post-397149","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-price","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/397149","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=397149"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/397149\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/397150"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=397149"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=397149"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=397149"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}