Over the past week, Bitcoin’s hash rate has dropped by several percent after reaching 288 exahash per second (EH/s) on June 8, 2022. However, Bitcoin miners took a break on Wednesday, June 22, as the 2.35% drop in mining difficulty made it easier for miners to find blocks. The 2.35% drop brings the difficulty down to the 29.50 trillion range for the next two weeks.
Bitcoin mining difficulty drops by 2.35%
On Wednesday, June 22, at block height 741,888, Bitcoin’s mining difficulty was 2.35% lower than it was two weeks ago. The difficulty level at the time was 30.28 trillion, today it is 29.50 trillion. Additionally, Bitcoin’s fiat value fell to a low of $17,593 on June 18. Essentially, Bitcoin’s Difficulty Adjustment Algorithm (DAA) changes every 2016 blocks based on the time it took to find the previous 2016 block subsidy. The difficulty is to maintain a consistent block time of about 10 minutes between each BTC block found. Two weeks ago, the last difficulty change at block height 739,872 increased by 1.29%. This means that blocks from 2016 before block height 739,872 took less than two weeks to find, meaning miners were faster during that time. This means that while today’s DAA shift is down 2.35%, previous 2016 blocks were discovered at a much slower rate. A 2.35% reduction makes finding a BTC block 2.35% less difficult compared to blocks discovered in the past two weeks or in 2016. BTC’s block reward halving is expected to happen on April 23, 2024, less than 100,000 blocks away. While the hash rate hit 288 EH/s on June 8, the network’s hash rate fell during the crypto market crash and hit a low of 164 EH/s on June 18. At the time of writing on Wednesday, June 22, the hash rate is sliding ahead at just under 200 EH/s. The top five BTC mining pools for the past three days include Foundry USA, F2pool, Antpool, Poolin, and Viabtc. The five BTC mining pools mentioned above account for 72.8% of the global hash rate today. In the last month, 4,271 BTC blocks were mined, of which 959 were discovered by Foundry. Antpool found 636, F2pool found 591, Poolin found 457, and Viabtc found 434 Bitcoin (BTC) block rewards. In the next two weeks, the difficulty of finding a BTC block will be reduced by 2.35% compared to the two weeks prior to block height 741,888. Miners will benefit from Wednesday’s DAA reduction due to lower prices.
What do you think of Bitcoin’s difficulty reduction Wednesday afternoon (ET)? Let us know what you think about this topic in the comments section below.
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