Looks Like Miners Aren't Giving Up
Bitcoin has been called boring by some due to an extended period of low volatility. For nearly the past 3 months or so its price fluctuated between $9000 and just below $10,000. It is currently trading at $9215 and seems ready to test upper resistance levels once again.
It seems that miners have placed a vote of confidence in Bitcoin's long term future. Roughly 2 months after Bitcoin's halving, which reduced miner rewards to 6.25 BTC, Bitcoin's hashrate reached very high levels.
Hashrates & Why They Matter
Bitcoin's current hashrate is 121.957M, with its all-time-high of 123.287M taking place before the halving in March.
Bitcoin's network difficulty is also rather high with 15.784t registered currently. Its all-time-high correlates with the hashrate all-time-high in March and was just slightly higher at 16.553t.
Despite miner rewards being slashed in half, difficulty remaining high, and Bitcoin's price not budging much in recent weeks, miners are still eager to mine BTC. One could easily conclude that miner capitulation is far from occurring.
It seems that the opposite is happening, and miners are wagering on a break-out in Bitcoin's price.
While this is probably due to occur in the near future with
many analysts making wild pre-having price predictions, the question is when?
Should the current global scenario return to normalcy in the coming months we
could probably see Bitcoin trading above $13,000. Bitcoin may just be a napping bull for now.
Written by Jonathan Ganor
Writer & cryptocurrency aficionado