The Bitcoin network adjusts the difficulty every 2016 blocks. If calculated based on the design block time of 10 minutes, the interval between two difficulty adjustments is 14 days. Yesterday morning, after the latest adjustment of the Bitcoin network at block 622944, the difficulty of the Bitcoin network dropped by 15.95%, setting a record for a single difficulty decrease in the past five years.

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Source: Chain.info

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Source: Chain.info

It can be seen from the statistics that after March 14, the block interval deviated significantly from the set average (600 seconds), and the average block interval before the difficulty was lowered reached 12.5 minutes (750 seconds). As a result, the Bitcoin halving time has been postponed from the expected mid-to-early May to late May.

Looking back at the Bitcoin price fluctuations in the past two years, the one that had the greatest impact on computing power and difficulty was when the currency price dropped to $3,000 at the end of 2018. The difficulty of Bitcoin dropped from 7.45T in October 2018 to a minimum of 5.11T in late December, with a cumulative drop of more than 30%. At that time, there was a lot of news about the sale of mining machines by the catty. Many miners did not survive the trough of the currency price in the past four months and withdrew from the market. In the second half of 2019, due to the fierce competition in computing power brought about by the halving expectation, the computing power has been pushed up to nearly three times that of the beginning of the year. The profitability of many older mining machines is already not optimistic, so we can only hope The halving market occurred. However, the deterioration of the global financial environment has led to a sharp drop in currency prices, and it is also likely that the price will remain low for a long time. These mining machines will be uncompetitive after the halving, and they can only withdraw from mining or switch to other coins with the same algorithm kind.

Chain.info combined the design of the bitcoin difficulty adjustment algorithm and the recent changes in computing power, and calculated the expected difficulty of bitcoin, and believed that the difficulty of bitcoin is likely to continue to decline. At present, the computing power of Bitcoin is still much higher than the average level of the past few years, while the currency price is lower than the average value of 19 years, which is close to the shutdown price of many mining machines. The halving will further eliminate these mining machines.

Disclaimer: The opinions involved in this report are based on comprehensive research and judgment based on data analysis. They are only for reference and not as investment basis. Risky investment in currency speculation requires caution.

Disclaimer: The opinions involved in this report are based on comprehensive research and judgment based on data analysis. They are only for reference and not as investment basis. Risky investment in currency speculation requires caution.