What Death Spiral? Bitcoin Hash Rate Surges to Fresh All-Time High
[NEWS BLOG]: What Death Spiral? Bitcoin Hash Rate Surges to Fresh All-Time High
Bitcoin Hash Rate Establishes New All-Time High
According to crypto data firm TradeBlock, Bitcoin’s network hash rate just hit a new all-time high. The company shared the image below on July 7th, showing that the seven-day moving average of the hash rate is now above 124 exahashes per second. This is over double that seen a year ago.
The hash rate is the measure of the computational power being used to secure transactions on a blockchain network. As Bitcoin.org describes the term:
“The hash rate is the measuring unit of the processing power of the Bitcoin network… When the network reached a hash rate of 10 Th/s, it meant it could make 10 trillion calculations per second.”
Investors in the space have responded to this metric with immense optimism. One trader bashed the death spiral narrative, asking where the death spiral is.
Their optimism isn’t unfounded: analysis suggests that increased Bitcoin mining activity should correspond with higher prices for BTC.
This theory was cemented with a price model from digital asset manager and investor Charles Edwards. In 2019, he came out with a model showing that Bitcoin’s price has always centered around its energy consumption in joules.
Edwards recently found that with the ongoing hash rate surge, Bitcoin is now trading around 27% under its energy value. Should the hash rate stay this high, BTC is likely to be attracted towards its energy value.
OTHER RELATED NEWS
Ripple (XRP) Showing Early Signs of Fresh Increase, But Bulls Facing Hurdles
"Ripple Price Holding $0.2800"
In the past three sessions, there were mostly bearish moves in ripple below $0.3000. XRP price even failed to stay above the $0.2850 support and it settled well below the 100 hourly simple moving average.
A new weekly low is formed near $0.2790 and the price is currently correcting higher. There was a break above the $0.2850 resistance. Moreover, there was a break above a key bearish trend line with resistance near $0.2900 on the hourly chart of the XRP/USD pair.
Ripple spiked above the 23.6% Fib retracement level of the recent decline from the $0.3274 high to - read more.
A Bitcoin Breakdown Could Be Devastating for These Two Major Altcoins
Throughout the course of the crypto market’s firm 2020 uptrend, Bitcoin’s steady climb has allowed most major altcoins to post decent gains, although none have come close to competing with those seen by Chainlink and Tezos.
These two cryptocurrencies have been able to set fresh all-time highs over the past couple of weeks, and although their uptrends have slowed down as of late, they still remain overwhelmingly bullish.
One analyst, however, is noting that these two cryptocurrencies could be subjected to brutal losses if Bitcoin sees a breakdown from its current price levels.
"Bitcoin Stabilizes as These Two Altcoins Begin - read more.
Ripple (XRP) Is Recovering But Here Is Why It Could Reverse To $0.165
Ripple Price Facing Hurdles
Yesterday, we saw more losses in ripple below the $0.1850 level. XRP price traded to a new monthly low at $0.1812 and it is currently correcting higher.
There was a decent support base forming above the $0.1820 and $0.1840 levels. The price is now trading above the $0.1850 level, plus the 23.6% Fib retracement level of the recent drop from the $0.1965 high to $0.1812 low.
However, ripple price is now facing a strong resistance near the $0.1890 level and the 100 hourly simple moving average. The 50% Fib retracement level of the recent drop from the $0.1965 high to - read more.