Data shows the Bitcoin mining hashrate has rebounded 11% since the November end lows; can the metric keep this up and set a new all-time high?

Bitcoin Mining Hashrate Continues To Rise, Approaches ATH

The “mining hashrate” is an indicator that measures the total amount of computing power currently connected to the Bitcoin blockchain. When this metric observes a rise, it means miners are bringing more machines online on the network, showing that they are finding the chain attractive right now. On the other hand, a decrease suggests some miners are leaving the blockchain, likely because they are not finding the coin profitable enough to mine at the moment.

Now, here is a chart that shows the trend in the 7-day average Bitcoin mining hashrate over the last six months:

Looks like the metric's value has been rising in recent days | Source: Blockchain.com

As the above graph shows, the 7-day average Bitcoin hashrate was at an all-time high of 273 million terahashes per second (TH/s) at the beginning of November, but by the end of the month, the metric had taken a plunge to just 234 million TH/s. In December, however, the indicator has seen a sharp rebound of around 11% as its value has now risen to about 261 million TH/s.

The reason behind these shifts in the hashrate lies in the concept of Bitcoin mining difficulty. A feature of the BTC network is that the rate at which miners produce new blocks (or more simply, handle new transactions) stays mostly constant. Naturally,…