It was reported that the processing power of the network climbed to 119 TH/s per second. The figure is nine times higher than the hash rate achieved when BTC was priced at USD 20,000.
Bitcoin’s processing power, or hash rate, reached a new all-time high by registering a processing rate of 119 tera hashes per second (TH/s), or 119 billion operations in that unit of time.
The network’s new milestone occurred between December 31st, 2019 and January 1st, 2020, according to blockchain.com, while statoshi.info registered the new high at 127 TH/s. It should be noted that the hash rate is nine times higher than the computing power that the miners achieved in December 2017 when the main cryptocurrency of the market was close to USD 20,000. On that occasion, the rate was around 12 TH/s. Furthermore, this achievement arrives only three months after the network broke the barrier of 100 billion operations per second.
As a result of this increase, Bitcoin’s mining difficulty also experienced an all-time rise from 12.9 Teras to 13.7 Teras, which speaks of the security offered by the network to process operations.
Increases and Mining Chips
The reasons that would be boosting these increases could be related to the third halving of Bitcoin that is scheduled in May 2020. Investors would be injecting funds into mining equipment to obtain incentives of 12.5 BTC per mined block, before the reduction of the reward to 6.25 BTC occurs, in about five months.
Regarding this point, a study conducted by the research firm TokenInsight noted that the final deliveries of future orders for more energy-efficient mining equipment boosted both categories during 2019, which has already been extended to 2020. The report indicated that the increases in 2019 correspond, on average, to 6.26% in terms of difficulty, whilst the hash rate grew by 72%.
The term “hash rate” is defined as the rate that measures the processing power in a cryptocurrency; that is to say, it is the number of hash operations performed in a certain amount of time.
The increase, both in processing power and in Bitcoin’s mining difficulty, is a sign of the interest that the pioneering cryptocurrency continues to arouse all over the world. However, the scenario in the crypto market shows some differences. At the time of writing this article, the price of BTC was USD 6,990 per unit with a drop of 3.24% if compared to its price last Wednesday, January 1st.
During the last month,s there have been dozens of predictions made by analysts about how the price of Bitcoin could behave before the halving of May. Some people believe that the cryptocurrency will reach a new all-time high that would even be above USD 250,000, but some others think that its price would fall below USD 6,000.
Considering all the above-mentioned facts, it can be concluded that Bitcoin is still the best investment for those wanting to venture into the world of crypto assets. Since its birth more than 11 years ago, the main cryptocurrency has proved to be able to overcome its all-time lows.
By Willmen Blanco