On-chain tracking source BTC.comData from Bitcoin shows that the mining difficulty of the Bitcoin network reached an all-time high as of August 31.
Biggest increase in Bitcoin mining difficulty since early 2022
The fundamentals of the Bitcoin network present a positive outlook towards the end of August despite the recent drop in BTC price.
The rise in both difficulty and hash rate reflects miners’ belief in the long-term profitability of network engagement. It also shows that the mining industry is willing to take low profits for their short-term costs.
The difficulty, which increased by 9.26 percent with the auto-correction on August 31, reached an all-time high. Competition among miners is also healthier than ever.
For comparison, the last example where mining difficulty increased more than this was seen in January with 9.32 percent, and before that in August 2021 with 13.24 percent.
According to BTC.com, the hash rate also reached an average of 221 EH/s. The hash rate set a record 223 EH/s just before the Terra ecosystem collapsed in May.
Core indicators of the Bitcoin (BTC) network revealed welcome rises that dampened the severity of the classic bear market.