Mining Difficulty with strong increase
The market leader is testing support at $9200 again on Saturday, while investors are taking a wait and see approach. The high correlation to the traditional markets currently stands in the way of a price breakout. At first glance, one might think that the crypto space is taking a summer break. However, the highest BTC Mining Difficulty increase in the past 2 years speaks a different language.
BTC course in detail
At the time of this article, the leading crypto currency is at a rate of 9299 USD. At the same time 64.8% of the total market capitalization is in Bitcoin investments. The focus is therefore still on Bitcoin, but the purchasing power of the investors is missing. In the past 24 hours, Bitcoin units worth approximately USD 18 billion have been traded, a comparatively weak value. The reluctance of investors can be explained by the high correlation to the traditional markets.
Here are the next limits
After the bears failed to attack the support area at $9200, the bulls can take over in the coming hours. Here the resistances at 9400 USD and 9600 USD are coming into focus. However, many indicators are pointing to a sustained sideways movement. On the other hand, there is bullish news from the technical side. After the third BTC Diffficulty Adjustment (after the halving), the difficulty level is making an amazing leap up.
What is the Difficulty?
The Difficulty indicates the degree of difficulty when digging the coins (mining). During the process the miners have to solve different arithmetical problems. The higher the Difficulty, the more difficult it is for the miners to find a block. In general, a high level of difficulty indicates the good security status of a network. After the Halving Events and the new Difficulty, many miners have to calculate exactly which coins they will mine in the future. For countless miners, Bitcoin mining is no longer worthwhile.
Difficulty with strong increase after adjustment
According to an article from cryptonews.com, the Difficulty has increased by 14.85% after the last BTC Difficulty Adjustment. This is the largest increase in the last 24 months. According to btc.com the Difficulty is now 15.78 T. The figures speak for a strengthened network that has survived the aftermath of the halving.
More news from the weekend
While the majority of investors look at the BTC, Crypto.com shoots up to rank 10 on the crypto charts. Thus the Exchange-Coin confirms the strong performance of the last months. In addition, the company Ernst & Young publishes an app for the personal crypto tax return. All in all, we are experiencing a quiet weekend in the block chain world so far.