{"id":14826,"date":"2021-08-30T17:37:40","date_gmt":"2021-08-30T17:37:40","guid":{"rendered":"http:\/\/ci028bfd20400025a2"},"modified":"2021-08-30T17:37:40","modified_gmt":"2021-08-30T17:37:40","slug":"bitcoin-hashrate-v-shape-recovery","status":"publish","type":"post","link":"https:\/\/bitcoinmagazine.com\/markets\/bitcoin-hashrate-v-shape-recovery","title":{"rendered":"The Bitcoin Hashrate “V-Shape” Recovery"},"content":{"rendered":"
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\u200bThe Bitcoin network’s one-month implied hashrate saw almost four months of steady increases since the beginning of 2021, topping at 166 exahashes per second (EH\/s) in April. Throughout that month and the next, it lateralized but started dropping sharply as June began. By July 1, the Bitcoin network hashrate had fallen by nearly 30%, bottoming later that month at around 95 EH\/s. But since then, hashrate has been recovering quickly, increasing by over 30% in about 30 days and setting a V-shape recovery in motion.<\/p>\n

The thriving computing power employed on the Bitcoin network started hovering down as China began tightening bitcoin mining regulations in May<\/a>. In under two months, provincial governments had already issued plenty of shutdown orders<\/a> and inspection notices<\/a> to local miners, who saw no other option than to flee the country for good. But since the great ASIC exodus<\/a> ensued, some farms started being redeployed overseas<\/a>, bringing all those banned miners back online and triggering a strong hashrate recovery.<\/p>\n

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August has been a vital month for the Bitcoin network hashrate, with the 30-day moving average of the mean hashrate currently at 120 EH\/s, according to CoinMetrics data<\/a>. The “one-month implied hashrate is a better suited metric to track mid-to-long-term changes in Bitcoin’s hashrate because it filters out all of the noise,” explained<\/a> Lucas Nuzzi in his article for BitcoinMagazine<\/em>. As big daily swings in hashrate are phased out, the 30-day implied hashrate provides a clear view for which direction hashrate is heading as a whole. Currently, it needs to increase only by around 38% to reach its all-time high. The 7-day moving average, another popular hashrate metric, is currently at 130 EH\/s \u2014<\/em> the highest it has been since June.<\/p>\n

In a true “V-shape” recovery, the Bitcoin network hashrate has been successfully passing a severe stress test, showing it can recover from a ban by one of the world’s biggest economies. Governed purely by free-market principles, Bitcoin is indeed antifragile and impossible to be banned<\/a>. Therefore, the true winners will be those countries that choose to adopt and welcome Bitcoin and its ecosystem<\/a> rather than fight it \u2014<\/em> and the sooner, the better.<\/p>\n

\u200b<\/p>\n","protected":false},"excerpt":{"rendered":"

Under three months after the Chinese state council banned bitcoin mining, hashrate has been picking up momentum with a V-shape recovery.<\/p>\n","protected":false},"author":2572,"featured_media":12856,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[34],"tags":[97],"class_list":{"0":"post-14826","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-markets","8":"tag-mining"},"author_data":{"id":2572,"name":"Namcios","nicename":"namcios","avatar_url":"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/12\/pfp-96x96.png"},"featured_image_url":"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/11\/bitcoin-hashrate-segwit-reach-all-time-highs.jpg","_links":{"self":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts\/14826","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/users\/2572"}],"replies":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/comments?post=14826"}],"version-history":[{"count":0,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts\/14826\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/media\/12856"}],"wp:attachment":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/media?parent=14826"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/categories?post=14826"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/tags?post=14826"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}