According to a report from bitcoinist, the bitcoin hash rate, which is essentially the computing power of the network, has broken its own record in August to reach 62 quintillion hashes per second. This is a massive 50% increase and it happened during just one month.
In June it hit the 43 quintillion mark, so you can see just how much it has improved in the following time period. As bitcoinist points out, this is a significant improvement, especially since bitcoin has gone through a price correction of around 80% this year.
How did this increase happen?
Essentially, the hash rate increase is due to new miners joining the network and investing real money in it. This has happened despite the bitcoin valuation decreasing and then hovering around the $6,000 to $7,000 mark for the last few weeks. In fact, bitcoinist has reported on numerous new mining farms springing up all over the world and a number of them are shifting towards using renewable energy.
Max Keiser, a financial analyst and author of the Keiser Report has a view on the bitcoin hash rate increase. He has always claimed that “price follows hash rate” and now he expects to see bitcoin’s price rise again. “Based on my [hashrate] analysis, new ATH incoming,” he tweeted. “$28,000 still in play.”
What do you think about Keiser’s view? Is it one that you share?