Service for copy trading. Our Algo automatically opens and closes trades.
The L2T Algo provides highly profitable signals with minimal risk.
24/7 cryptocurrency trading. While you sleep, we trade.
10 minute setup with substantial advantages. The manual is provided with the purchase.
79% Success rate. Our outcomes will excite you.
Up to 70 trades per month. There are more than 5 pairs available.
Monthly subscriptions begin at £58.
Since its creation in 2009, the Bitcoin meteoric price rally remains a controversial topic across mainstream media. While many publications disregard BTC as a highly volatile asset and label its price action random, some data sets assert that the price movements get influenced by well-known metrics.
According to data from Blockchain.com, a Reddit post, which superimposed BTC price history to identify trends, noted that there exists an uncanny correlation between Bitcoin’s hashrate and its price action.
Based on the chart, BTC prices typically “revert-to-the-mean” of hashrate data, with eleven clear instances of correlating with logarithmically calculated hashrate values. Using this metric for retail trading, the observations prove useful as buying BTC after the price crosses above the hashrate value results in a massive bull wave in four instances, followed by a gradual descent.
This correlation highlights BTC’s price action as anything but random, as many speculators and analysts like to state. Additionally, transaction values, price activity, technical analysis, and fundamental factors all influence the price action of BTC, much like traditional financial markets.
Hashrate and Its Relevance to the Bitcoin Network
For newbies, hashrate refers to the “buying power” of the Bitcoin network. It refers to the total combined computational power getting used at any particular moment to mine and process transactions on the Bitcoin network. Hashrate gets measured in units of hash/second, which represents the number of calculations the network processes every second.
A higher hashrate typically means more miners are on board, translating to better security for the network. Higher hashing rates safeguard a network against 51 percent attacks.
Meanwhile, Bitcoin’s hashrate is currently at its lowest point since November 2020, following ramped-up activities by the Chinese government to wean the country of decentralized cryptocurrency activities in general. According to Bitinfocharts, Bitcoin hashrate is down at 91.2 exahash per second (EH/s), a 46.7% drop from its six-week high at 171.4 EH/s.
The analytics firm also revealed that BTC mining profitability has dropped from its peak of $0.449 per day per terahash per second to $0.226.
Hashrate Drop Triggers Bitcoin Crash
Not surprisingly, the recent drop in hashrate has dealt a devastating blow to the price of BTC. At press time, the benchmark cryptocurrency trades at the $30,000 mark (-5% today).
That said, speculators expect displaced miners in China to find their way to other BTC mining hubs, especially Texas in North America. This movement is the most significant miners’ migration in Bitcoin history.
Once miners settle back into their previous rhythm, we can expect to see Bitcoin rise back to its recent highs.
You can purchase crypto coins here: Buy Tokens
- Min Deposit
- Visit Broker
- 20% welcome bonus of upto $10,000
- Minimum deposit $100
- Verify your account before the bonus is credited
- Over 100 different financial products
- Invest from as little as $10
- Same-day withdrawal is possible
- The Lowest Trading Costs
- 50% Welcome Bonus
- Award-winning 24 Hour Support
- Award-winning Cryptocurrency trading platform
- $100 minimum deposit,
- FCA & Cysec regulated
- Fund Moneta Markets account with a minimum of $250
- Opt in using the form to claim your 50% deposit bonus