The crypto market has continued to fluctuate this week. As a result, the capital of the global crypto market only registered an increase of 1.71% in the last day to $1.07 billion, at the time of writing. Bitcoin followed suit with a gain of 0.82% in the last 24 hours of press.
On the price front, there is undoubtedly an improvement when comparing the state of the crypto market to last month. Interestingly, on the network side as well, the situation is improving.
Bitcoin Mining Recovery
Until May and June, miners were at their best, having recovered from the crash of May 2021. The hash rate reached an all-time high in June. But with the June crash, the hash rate took a hit, dropping to 202 Eh/s.
Consequently, the mining difficulty also started to decrease and reached its lowest level in four months.
The reason behind this was the demise of miners who had to shut down their machines due to rising operating costs and declining profits. This, due to lower prices.
Although after hitting a three and a half year low for a month, the Puell multiple has recovered from the extreme stress zone, it still indicates that the miners are under stress.
But things are looking up now for these miners. Overall, the situation is improving as countries and companies see growth.
Just recently, Iran’s Ministry of Energy changed its regulations on crypto mining to facilitate access to renewable energy for entities licensed to mint digital devices in the Islamic Republic.
This will allow miners to purchase electricity generated from renewable sources from anywhere in the country at a much cheaper rate. Until now, this facility was limited to the very province in which the mining facility was located.
Additionally, Bitcoin mining firm BitFarms also announced the completion of the second phase of “The Bunker” mining facility it is developing.
This bolstered its hash rate as the company added 9,450 new miners. Thus, bringing the total hashrate to 3.8 Eh/s. The third phase adds another 3,250 miners.
These developments allow the mining industry to grow rapidly. Thereby compensating for the miners who exited. And, in return, recover the lost hash rate.