Bitcoin Hashrate recently reached a novel all-time high amid a price rebound for the flagship cryptocurrency. This development is significant considering what it means for Bitcoin Ecosystem and what impact this might have on prices in the future.
Bitcoin Hashrate Hits Record Highs
Data Hashrate Index shows that BTC achieved a novel all-time high network hashrate of 677 EH/s on July 26, surpassing the previous record of 656 EH/s set on May 27. This data is based on seven-day data SMA (basic moving average)which miners consider to be the most precise estimate.
However, the 3-day moving average provides an even more positive outlook for Bitcoin’s hashrate, with extraction reaching a record high of 707 EH/s on July 23. The boost network hashrate usually means more computing power is added to verify transactions. This makes the network more secure and could have a significant impact on Bitcoin’s price.
The impact of hashrate on BTC price is primarily due to the fact that an boost in this metric means that the miners’ surrender is over and that there is stability among these miners again. This miner capitulation refers to the moment when miners start to get rid of a significant portion of their Bitcoin holdings and likely stop operating due to lack of profitability.
This began after the halving in April, when miners saw their mining rewards halved. This led to a wave of selling among these miners, especially as the BTC price experienced a downtrend after the halving. Bitcoinist reported that these miners sold over 30,000 BTC in June, leading to drastic price declines for the flagship cryptocurrency.
Meanwhile, novel highs in Bitcoin hashrate could be expected. Bitcoinist recently reported the hash ribbon indicator was flashing a buy signal, suggesting that the capitulation was coming to an end and that a massive BTC price rebound was imminent.
BTC is just getting started
Bitcoin is currently enjoying an upward trend. The flagship cryptocurrency is once again looking at Price level $70,000 and trying to reverse it as support. Based on recent technical analysis, this should happen soon as crypto analysts such as Crypto Mikybull predict that BTC could reach a novel ATH in this next stage of growth.
Mikybull Crypto recently stated that a “crazy rally” is on the horizon for BTC. Based on the chart he shared, the flagship cryptocurrency is well-positioned to grow up to $90,000 between now and September. He also predicts that Bitcoin could reach as high as $136,000 in the long term as it forms a top for this market cycle.
At the time of writing, Bitcoin is trading at around $69,500, up more than 3% in the past 24 hours, according to data data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com
