Ethereum’s Hashrate Dives

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Summary

Ethereum’s hashrate might potentially continue to fall due to the onset of the ice age. Bitcoin’s hash thus is now nor far off from its peak despite its 87% price fall from $20,000 to $3,500. In addition, the ice age has kicked-in which increases ethereum’s mining difficulty and thus makes it more difficult to produce a block. So if the reduced supply increases the price, then the hash might increase too due to eth becoming more profitable to mine. Ethereum’s hashrate has fallen to its lowest level since 2017, down 23% to 140 terahashes from 180, and down more than 50% since the August peak of close to 300.

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Ethereum’s hashrate has fallen to its lowest level since 2017, down 23% to 140 terahashes from 180, and down more than 50% since the August peak of close to 300.

Miners have been leaving the network for the past six months as eth’s price crashed by 93% from a high of $1,400 to now $120.

In addition, the ice age has kicked-in which increases ethereum’s mining difficulty and thus makes it more difficult to produce a block.

It now takes 21 seconds for a block to be mined, up from the usual 15 seconds. That has reduced earnings for miners from about $2.4 million a day to $1.5 million as new supply has fallen from 20,000 eth to ◊13,000.

Ethereum’s hashrate, February 2019.

That probably means quite a few eth miners are operating at a loss, especially hobby miners who usually have high energy costs.

It might also mean that any asics deployment is not being seen as you’d expect a significant hash jump, rather than a continuous fall.

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