As The Merge Gets Closer, Ethereum’s Hashrate Dropped Over 26% Since the Network’s All-Time High 45 Days Ago – Mining Bitcoin News

NiceHash
As The Merge Gets Closer, Ethereum’s Hashrate Dropped Over 26% Since the Network’s All-Time High 45 Days Ago – Mining Bitcoin News
Bybit


While developers have set a tentative date for The Merge, although there is a high probability of another delay, Ethereum’s hash rate has dropped by 26.26% over the past 45 days. The 18.21% hashrate loss occurred after June 30, as Ethereum’s global hashrate slid from 1,190 terahertz per second (TH/s) to 973.27 TH/s today. While Ethereum’s hashrate has dropped, Ethereum Classic’s hashrate has surged 12.07% over the past two days, but the added terahash is far less than the hashrate that has left Ethereum over the past few weeks.

Ethereum’s Hash Rate and Mining Revenue Slip, Losing 217 TH/s Since Ethereum’s All-Time Hash Rate High

A few days ago, on July 16, 2022, Bitcoin.com News reported that while the timetable has not been finalized, the merger could be implemented on September 19, 2022. Software developer Superphiz shared a “planned timeline” last week, setting a provisional date for Ethereum to transition from a proof-of-work (PoW) to a proof-of-stake (PoS) consensus model.

The developer stressed that the date has not yet been finalized, but he also said it was “very exciting” to see the transition coming. The Merge’s proposed date boosted the value of ether (ETH) against the U.S. dollar, but it also increased ether gas fees by $1 or more per transfer at a time when transaction fees have been low.

Interestingly, ETH’s hash rate has also been dropping, just as last week ETH developers set the ostensible date for The Merge. Overall, Ethereum’s computing power began to slide 44 days ago, with a block height of 14,902,285 after reaching an all-time high (ATH) of 1,320 TH/s or 1.32 petahash/s (PH/s) on June 4.

Minergate

Ethereum’s hash rate is down more than 26% since hitting an all-time high 45 days ago as merger looms

Since then, ETH’s global hashrate has dropped by 26.26%, but the biggest drop in the last six months occurred on June 30. Ethereum’s hashrate dropped from 1,190 TH/s to the 973 TH/s range, or below 1 PH, a drop of 18.21%/s range. When Ethereum finally transitions from PoW to PoS, PoW miners will have to dedicate their Ethash hashrate elsewhere or stop mining.

It is assumed that most PoW miners of ETH will simply mine Ethereum Classic (ETC), since the two networks share the same Ethash algorithm. It can be assumed that ETC’s recent 12.07% increase in hash rate came from ETH miners, however, while ETH lost 217 TH/s, ETC only gained 2.11 TH/s.

It’s arguably easier to assume that 217 TH/s closed due to a lack of profit due to the fall in ETH’s fiat value last month. Ethereum miners are not as profitable as they were a few months ago. On May 7, 2021, ETH miners made $93.16 million in 24 hours, and on January 5, 2022, ETH miners made $85.38 million in 24 hours. Today, more than half of that revenue is gone, with miners making $43.23 million in the past 24 hours.

Ethash remains the most profitable consensus algorithm today, as the new Bitmain Antminer E9 at 2.4 gigahash per second can earn about $56.49 a day in profit. Compare that to the Bitmain Antminer S19 XP, one of the most profitable bitcoin miners today, with 140 TH/s, earning $5.17 a day in profit.

Statistics show that there are currently 78 listed mining pools mining ETH, and Ethermine.org is the miner with the largest computing power. Ethermine.org commands 260.20 TH/s out of 973 TH/s today. The remaining 712.8 TH/s comes from dozens of ETH pools that mine ETH every day.

tags in this story

All Time High, ATH, Bitcoin (BTC), BTC, computing power, ETC, ETH, ETH developers, ETH hashrate, PoW miners for ETH, Ethereum, Ethereum (ETH), ethereum classic (ETC), Ethereum Developers, ethereum hashrate, Ethereum mining, Ethereum mining business, ethermine.org, Hashpower, Petahash, mining pools, PoS, PoW, Terahash, The Merge

What do you think of Ethereum’s hash rate drop as The Merge approaches? Let us know what you think about this topic in the comments section below.

Jamie Redman

Jamie Redman is Head of News at Bitcoin.com News and a fintech reporter living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He is passionate about Bitcoin, open source code and decentralized applications. Since September 2015, Redman has written over 5,700 articles for Bitcoin.com News on the disruptive protocols emerging today.

Image credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or an invitation to buy or sell, nor is it a recommendation or endorsement of any product, service or company. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned herein.

More hot news

in case you missed it

Coinbase

Be the first to comment

Leave a Reply

Your email address will not be published.


*