Bitcoin Mining Difficulty Decreases by 5%

The latest recalibration has seen the difficulty of mining the premier cryptocurrency drop by 5%, settling at 79.5 T.

The average hash rate since the previous adjustment was 568.75 EH/s, with the interval between blocks increasing to 10.5 minutes.

According to Glassnode, the network’s computational power, smoothed by a 7-day moving average, has decreased to 580 EH/s. This marks an 11.5% decline from the peak of 656 EH/s reached in May.

Data from Hashrate Index indicates that as of July 4, the hash price was $44.9 per PH/day. This figure is close to the historically low levels recorded in May.

In recent weeks, several experts, including on-chain analyst Ali Martinez and specialists from CryptoQuant, have suggested that miners are capitulating. Cryptocurrency miners are shutting down equipment that has become unprofitable following the April halving and are selling bitcoin reserves to sustain operations.

The Hash Ribbons indicator also signaled this trend. Its creator, Charles Edwards, founder of Capriole Investments, noted that miner capitulation is often accompanied by a price drop, historically providing a buying opportunity for the cryptocurrency.

James Check, an analyst at Glassnode, offered a different perspective, arguing that only about 5% of the mining power is facing difficulties, and there is no widespread sell-off.