Bitcoin miners are celebrating their third break this year as their computational power has increased due to a 1.26% reduction in difficulty. This means that they will be able to mine more bitcoins, and an infinite number of new ones come with it. The miners also have another 108,160 blocks left until the halving occurs at or around May 3, 2024which could bring in some big profits if prices continue to rise.
On March 03, the Bitcoin Difficulty Adjustment Algorithm (DAA) fell by 0.35% and again on March 17 by 1.49%. This is the third time in 2022 that the DAA has fallen 1.26% on Thursday at a block high of 731808.
Related reading | Could the 600-day moving average support line push Bitcoin again?
Bitcoin experienced a significant decrease in its difficulty adjustment algorithm on March 7, 2021. As a result, the DAA fell by 27.94%. This was one of the biggest cuts in Bitcoin’s life. However, since this change, the hash rate has increased.
With a 1.26% drop in DAA, miners are finding it easier to find blocks. Two weeks ago the difficulty was 28.59 Trillion and today with that drop 28.23 Trillion. There are still 1,982 blocks left until the next DAA change.
Nowadays, the difficulty adjustment algorithm is expected to increase in the next change. The next DAA estimate was released on April 28. So the next change will happen two weeks from now. Using today’s bitcoin price, the current block support of 6.25 bitcoin is equal to $252,781.
More Bitcoin Pools Joining Just Over 100,000 Blocks Rewarded Halving
Every day, Bitcoin miners are getting closer to the expected block reward halving on or around May 4, 2024. Some estimates assume that it may appear on May 3, 2024. As a result, things are turning positive for miners. Miners can expect a significant increase in revenue with this new halving schedule.
After the halving, miners will see their reward halving, from 6.25 bitcoins per block to 3.125 bitcoins per block. The network produces about 900 coins per day (144 blocks), and the Bitcoin inflation rate is 1.74%. To date, 90% of all imaginable bitcoins have already been minted – only 988,481.23 left.
Related reading | TA: Why Bitcoin Price Might Seek A Strong Rebound Above $41.5K
It was a smooth few days for the mining community as the difficulty continued to change, making it easier to find blocks. Foundry USA currently holds the highest honors among all other groups for the past three days. They found 72 blocks and 16.63% or 33.54 ha/sec of hash power.
In recent days, more pools have joined. For example, there were 11 knowns Bitcoin mining Pools two weeks ago, but now the number is 14.
Bitcoin is currently trading at $39,775 at the time of writing. The coin is below the $40,000 support level. Bitcoin price is down 3.35% in the last 24 hours and 8.48% in the last week.
Featured image from Flickr.com, chart from Tradingview.com