Analysis: Bitcoin price has rebounded after halving, but miners may still choose to shut down

According to Coindesk, according to Glassnode data, the average computing power in 7 days has dropped from 122 EH / s before halving to 114 EH / s. The decline in computing power indicates that some miners have reduced or closed their businesses. The BTC block reward has been reduced to 6.25 BTC, making it difficult or impossible to make profit with old mining machines. The average block time increased from 8.5 minutes on Sunday to more than 12 minutes on Wednesday. It is expected that the halving will crowd out some miners, especially those using old miners such as the Ant Miner S9. Digiconomist founder Alex de Vries said that the life of S9s miners has exceeded expectations, and bitcoin prices must double before they can become viable again. He predicts that computing power will drop by 20% in the short term. The current seven-day average is down 6.5%. But if prices continue to rise, even old mining machines may be worth using. With the advent of the rainy season in Sichuan, China, electricity costs are expected to fall, and the region ’s total mining power in the Bitcoin network accounts for more than 50%. But some data show that even if the price rises more than $ 13,760, S9 will still lose slightly. Some observers said that the surrender of miners occurred in early March. According to de Vries, we have halved the price in March due to the price plunge; it is not expected that the computing power will drop significantly in the short term. At present, the possibility of breaking through 13,000 US dollars is unlikely, but the possibility of breaking through 10,000 US dollars is not ruled out, because the bitcoin balance of crypto exchanges continues to decline after halving, which is a sign of long-term bullish sentiment.

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