The Bitcoin hashrate is quickly pulling back after the recent reward halving. Many expect the price to increase which would add hashpower to the network.
Initial days after reward reduction
The Bitcoin block reward was reduced to 6.25 BTC from 12.5 on May 11th at around 4pm EST. This was the 3rd block reward halving in Bitcoin’s history.
In the days before the halvening, the Bitcoin hashrate went up to an all time high of around 150 EH/s. Just after the reward halving, the hashrate pulled back after the halving significantly and hovered between 105 and 120 EH/s.
Bitcoin hashrate taken from Coinwarz.com
The hashrate is now hovering at around 100 EH/s. Contrary to Bitcoin SV and BCH, Bitcoin saw a smaller reduction in the mining community, suggesting that a large portion of the miners are still able to maintain profitability with half the mining reward.
While miners may continue to pull away from Bitcoin and go to other altcoins or stop mining altogether, the market price of BTC would greatly mitigate miner pullout.
Altcoin mining power increasing after halving
With the Bitcoin mining reward cut in half and the market price slowly moving up, some miners appear to be moving back to altcoins.
Dash, just reached an all time high hashrate of 9.6 PH/s on May 13th. BCH saw a 250% spike in its hashrate right after BTC’s halving on May 11th. Bitcoin SV’s hashrate jumped over 150% and is continuing to rise.
With altcoins providing a more profitable route for some, BTC’s hashrate may continue to fall.
The current pullout of hashpower is still less than a 50% pullout forecasted by some. New, more efficient hardware coming onto the market from Bitmain and other manufacturers will surely help the Bitcoin continue to trend towards previous highs in 2020.
Nate Christenson – Hashpowah editor & eCommerce Product Manager