The pandemic Coronavirus ? is a few hours of arriving at the number of 1 million infected worldwide. What has generated that many governments have implemented the quarantine. As, no doubt, has affected the workers in the large farms mining of Bitcoin, mainly located in China ??. China is just days of starting operations again, as they have been reduced exponentially in their number of infected daily, or at least that is the official information from the chinese government. However, the number of cases outside of China it is almost 8 times greater. Taking this into account, it is normal to ask to what extent the mining of Bitcoin is being affected by the Coronavirus. Since the operators of the main farms, mining companies are not immune to this global crisis. But not only has this impacted the mining of Bitcoin (BTC) and other cryptocurrencies, but also throughout the normal life of humanity. No matter religion, geographical location, skin color, or age. The majority of humanity, should, be within of their homes.
On march 26, the Hash Rate of Bitcoin had a big setback, falling 16%. In total, in the course of the year, the computing power of the main criptomoneda of the world has fallen by 45%. And the fears for the security of the network Blockchain of Bitcoin increases. The rate of Hash fell from 136,2 quintillones EH/s achieved on the 1st of march, just 75,7 EH/s, according to the recognized portal Blockchain.com. On the other hand, the other crypto signature to investigate the different networks Blockchain in the criptoverso, got some similar findings.
“The peak in this year 2020 is 150 EH/s, and since then has shown a decline of over 30%”.
This fall has also impacted the difficulty of mining, which went from 17 billion to 14 billion in less than a month. Which confirms the suspicion that a large number of miners around the world have disconnected their machines. The rates of Hash, and the difficulty of mining are directly correlated. Both of these make up a cycle called “miners capitulation cycle” (Cycle of capitulation of the miners). In a few words, as it increases the difficulty of mining, crypto miners with equipment of low-power are forced to sell their savings to continue to produce BTC. This causes an increase in the total supply of Bitcoin. But, when the miners are unable to compete, drop out of the market, and this leads to a decrease in Hash Rate. What makes the mining of Bitcoin more easy, more profitable, and begins the cycle again.
But, the truth here is that the results of the pandemic Coronavirus have not been the only influence that the computing power of the network has been reduced. There’s another event just around the corner, the Halving of BTC, which, historically, has led to the departure of the miners of the crypto ecosystem. To separate the negative impacts of the Coronavirus and the Halving is almost impossible at this time. The only thing that we can notice is that the two could be attacking the ecosystem of crypto miners, but in different and unique ways.