Due to the fall in the price of the first cryptocurrency over the last recalculation, the complexity of bitcoin mining has decreased by 15.95%. The last time a decline of more than 15% occurred in December 2018.
The drop in mining complexity signals that some miners have disabled equipment for bitcoin mining, as the decline in the price of the first cryptocurrency made the creation of blocks less profitable. However, the drop may benefit those who choose to stay in the game, as less competition means that the remaining miners will make more profit.
The complexity of bitcoin mining changed on March 26 at about 6: 00 Moscow time, dropping to 13,912,524,048,946 with a hashrate of 99 eh/s. The last time the complexity adjustment occurred a few days before the sharp drop in the traditional and cryptocurrency markets, when all the major crypto assets lost a lot in price.
The fall in the price of bitcoin has leveled all the gains in computing power of the network over the past three months, pushing it to the level last recorded around December 20. The situation has particularly affected miners who worked on older hardware, such as Bitmain AntMiner S9 and other similar models.
The current decrease in complexity was the second largest in the history of the first cryptocurrency. In December 2018, the complexity of bitcoin mining collapsed by 15.13% in a single conversion. Previously, such a drop was observed only in October 2011.
The difficulty level of bitcoin mining changes approximately every two weeks-every 2,016 blocks. When a significant amount of computing power is withdrawn from the network during a 14-day cycle, this increases the time it takes for miners to produce 2,016 blocks.
Thus, in the next recalculation, the complexity of mining is reduced. Similarly, if there is a significant increase in computing power during the cycle, it reduces the average block creation interval, and the network increases the complexity of mining in the next recalculation.
Due to the shutdown of some miners, the hashrate of the network over the past two weeks has fallen to 99 eh/s, while in the first half of March, this figure reached 121.6 eh/s. This led to an increase in the average block production interval to almost 12 minutes, which subsequently extended the complexity adjustment period to 17 days.