Bitcoin miners may catch another break this week as the network’s mining difficulty is estimated to see a reduction tomorrow. Every two weeks Bitcoin’s difficulty adjustment algorithm (DAA) changes, and during the last DAA change, the difficulty dipped by 4.33%. Currently, at 235 exahash per second (EH/s), the network is expected to see a DAA reduction of 0.51% from today’s metric.
This Week’s Bitcoin Mining Difficulty Change Is Expected to Drop Lower
On June 7, 2022, there’s one more day until the next DAA change and it’s expected to drop lower when the shift commences. It changes approximately every 2106 blocks, or about every two weeks. After block height 735.840, the DAA was at its highest difficulty rating of 31.35 trillion.
The DAA will increase if blocks can be mined faster than anticipated. If blocks were mined slower over the same two weeks, difficulty will decrease. Following the 31.35 trillion record (ATH), the DAA block shifts at block height 737.856 decreased by 4.33% to bring the difficulty parameter current down to 29.90 Trillion.
It is easier to locate bitcoin block rewards when difficulty is lower. However, it becomes more difficult for miners to discover BTC block reward when DAA increases. DAA Retarget currently stands at 160 blocks and will likely change on tomorrow, June 8, 2022.
If the expected 0.5% drop happens, then the difficulty for the next two weeks will reach 29.75 Trillion. Bitcoin’s hashrate has been running at a fast pace after reaching an ATH of 275 EH/s on May 2, but since then it has not run higher than the lifetime record. The hashrate actually dropped below the 200 EH/s mark as Bitcoin’s price fell towards the end May.
Although a DAA shift down is likely, the DAA has seen 445 BTC reward blocks mined to existence in the past three days. Foundry USA seized the largest blocks over the three-day period, discovering 105 block subsidies rewards.
Foundry’s hashrate represents 23.6% of the global hashrate or 49.70 EH/s of processing power. Antpool, which has 78 block reward rewards in a 72-hour time period, is the 2nd largest mining pool by terms of hashrate. Antpool is home to 36.92 EH/s for the BTC blockchain. This equates roughly to 17.53% global hashrate.
The BTC Chain has 14 pools that dedicate hashrate. 0.45%, or 946.74 petahash/second (PH/s), of global hashrate is owned by unknown or stealth miners. Profits have dropped a great deal, as the most powerful ASIC mining device, Bitmain’s Antminer S19 Pro+ Hyd. With 198 Terahash per Second (TH/s), it earns an average of $9.80 per Day.
The cost of $0.12/kWh (kilowatt hour) is included in this figure, as well as the current difficulty of 29.90 Trillion. Microbt Whatsminer’s M50S, which has 126 TH/s at $0.12/kWh and can generate $6.78 per-day in BTC profits. At current BTC exchange rate, many ASIC mining machines manufactured prior to 2021 make $5 per day in profit.
How do you feel about bitcoin mining’s current status and the difficulty adjustment algorithm update expected next week? Please comment below to let us know your thoughts on this topic.
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