With the decline in the price of bitcoin (for the first time this year fell below 5000 U.S. dollars), the bitcoin network operator and difficulty seems to have continued to reduce. Although the market price relative to other currencies is still way ahead, but fell the data for this year, bitcoin is very unusual.
Bitcoin is crash
At the beginning of the year, is the bitcoin network for 16EH/S, then keep up state, a few weeks ago has just hit a new high of 60EH/S.
However, although the calculated stress rose nearly 300%, to November 16th, bitcoin is below 42.7ETH/S (or even less), and seems to still maintain a downward trend. This is probably because the miners facing financial pressure, unable to bear the currency price drop, they can only choose to shut down.
Another cause of bitcoin is falling is hard BCH bifurcation. In order to concentrate more resources, both camps are BCH in the branch before the transfer of a large number of bitcoin network operator.
To reduce the difficulty of rare
In addition to an outside force, bitcoin mining is also in decline. Every 2016 blocks, about two weeks, bitcoin will adjust its difficulty to ensure a time is 10 minutes.
Difficulty falling, this is a rare occurrence, usually difficulty increases with the increase in computing power of bitcoin network. But recently the difficulty with before flat or reduced. Since the beginning of October 17th, bitcoin mining difficulty began to fall, and the decline continues to expand, from 7.45T to 6.65T.
Bitcoin mining difficulty is a very important market index. From the historical data, the fluctuation of difficulty usually implies market trends. Some analysts said the difficulty in the long term flat or lower indicates that the market has bottomed out.
If bitcoin prices continued to fall, and difficulty is reduced is not possible.
Encryption currency market challenge
Not just bitcoin market in the face of the crypto currency crash situation. Since last week, the market value of encryption currency fell about 30 billion dollars. However, at the same time, the encryption is pegged to the dollar assets is relatively stable. Stable currency trading volume several more popular in the past 24 hours or even a 200% rise.
Stable currency once again become a safe haven?
When other encryption assets continued to fall, the stable currency seems to once again become the investors’ safe haven”. Due to regulatory issues, the user is often difficult in encryption currency exchange direct access to fiat money, so the stable currency has become the best choice of hedge encryption currency volatility.
A lot of encryption currency enthusiasts know, USDT this stable currency although there is much controversy but is still dominant. However, because the Tether in banking problems, many traders are now more willing to choose the other stable currency.
It is worth noting that last week fell below $6000 when the bitcoin psychological support, many investors are beginning to sell the currency in exchange for encryption more stable currency.
According to CoinMarketCap USDC, 24 hour trading volume increased by nearly 400%. On that day in November 14th (before bitcoin fell below 6000 U.S. dollars), USDC trading volume is only $5 million, the next 24 hours, the currency trading volume of more than $25 million.
USDC trading volume soared but also help them into the market value of the top 50 bit encryption currency. As of press time, USDC market capitalization of $145 million, the price is $1.02.