Glassnode: Bitcoin Hash Rate Hits New Highs, Yet On-Chain Exchange Volumes Show Investor Hesitancy

  • September 21, 2024
Glassnode: Bitcoin Hash Rate Hits New Highs, Yet On-Chain Exchange Volumes Show Investor Hesitancy
  • Bitcoin’s hash rate approaches an all-time high, showing strong miner self-confidence regardless of low income and high production expenses.
  • Trading volumes on exchanges have actually decreased, revealing reduced interest from financiers and speculators.
  • Bitcoin ETFs experience outflows, yet they still draw in more attention than Ethereum ETFs.
  • Regardless of challenging market conditions, miners continue to update hardware, increasing both hash rate and mining trouble.

According to experts at Glassnode, Bitcoin’s hash rate is nearing all-time highs, revealing miner self-confidence in the network regardless of low incomes.

Related: Harris and Trump in Their First Presidential Debate, Did They Talk Crypto?

Trading volumes are down, showing minimized financier interest. Both Bitcoin and Ethereum ETFs are seeing outflows, the Bitcoin ETFs continue to draw in considerably more financier attention, the experts composed in a current note.

Miners Essential for New Coins, Block Discovery

Miners are obviously the main stars when it concerns the Bitcoin network, vital for producing brand-new coins and offering network hashing power. They run in a difficult market with unforeseeable expenses for energy and varying Bitcoin rates.

In spite of unpredictable market conditions, miners have actually been actively setting up brand-new ASIC hardware, driving the hash rate up, almost reaching the all-time high, Glassnode composed.

With high hash rates, trouble to mine blocks has actually increased to the 2nd greatest in the Bitcoin life-span.

Bitcoin mining trouble, source: Glassnode

This in turn will adversely affect miner income quickly, the experts think:

The uptick in hash rate and problem represents a progressively costly production expense for BTC, which might negatively impact miner success in the future.

Glassnode

Trading Volume Falls Below Annual Average

Carrying on to exchanges and Glassnode states financiers and speculators alike have actually revealed a decreased interest, as seen by lowered on-chain volume.

Running a comparable 30d/365d momentum cross-over for exchange-related inflows and outflows, we can see that the month-to-month typical volume has actually fallen well listed below the annual.

Glassnode

Area trading on exchanges is down and continues to fall amidst the understanding that “there has actually been a significant decrease in trade activity over the last quarter”.

Related: Crypto Continues to Grow, 65% HODL Long-term, Says Gemini Report

While numerous traders appear to be still in a state of worry, the anticipated dip for Bitcoin listed below US$ 50k (AU$ 75.2 k) did not eventuate. At the time of composing BTC is better to the US$ 60k (AU$ 90k) mark, trading for US$ 57,650 (AU$ 86,634).

Some, like expert Michaël van de Poppe, think that the sag is over for the minute. Publishing on X, van de Poppe stated we might see a hang back to US$ 55k (AU$ 82.6 k) before BTC can make its method back towards US$ 60k.

#Bitcoin did revoke my bearish setup and broke through $56K.

I ‘d like to see this situation play out,

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